International Monetary Fund has commended Indian government’s swift and substantial response to the Covid-19 pandemic and noted that there is possibility of faster than expected recovery. IMF said its Directors commended the Indian government’s response to the pandemic which includes scaled-up support to vulnerable groups, monetary policy easing and liquidity provision, accommodative financial sector and regulatory policies, and continued structural reforms.
IMF’s executive board held consultations with India to assess the state of its economy and finances. IMF said, despite the pandemic, India continued to introduce structural reforms, including labour reforms and a privatisation plan. IMF noted that India is among the fastest-growing economies in the world in the decade before the pandemic, lifting millions out of poverty.