The COVID-19 economic stimulus worth $266 billion announced by Indian Prime Minister Narendra Modi on Tuesday seems to have failed to impress the equity markets.
Even as Finance Minister Nirmala Sitharaman made a detailed announcement on Wednesday on relief to small businesses and non-banking finance companies, the Bombay Stock Exchange tumbled 600 points in the opening trade on Thursday.
The Bombay Stock Exchange’s 30-share index Sensex fell 600 points to trade at arond 31,405. The national stock exchange’s 50-share index Nifty dipped 122 points to trade at around 9,222.
Announcing the details of Prime Minister Modi’s economic stimulus package, Finance Minister Sitharaman unveiled certain proposals relating to micro, small and medium enterprises, and non-banking financial companies. The markets do not seem to have cheered up as, according to the market participants, a direct stimulus had been expected.
Minister Sitharaman is scheduled to make more announcements regarding Modi’s stimulus package today (Thursday).