India’s biggest ever economic stimulus, dubbed as ‘Atma Nirbhar Bharat Abhiyan’, adds up to Rs 20,00,000 crore, which would be roughly 10 per cent India’s GDP. Analysts expect the package to include loan waivers for MSMEs, increased spending, GST rate cuts and credit guarantees to incentivise lending to MSMEs.
Here’s what the package looks like in numbers:
Equals Pakistan’s GDP: At $266 billion, the stimulus value in dollar terms is higher than the GDP of 149 countries such as Vietnam, Portugal, Greece, New Zealand and Romania. It almost equals Pakistan’s annual GDP of $284 billion.
Twice the wealth of 10 top billionaires: As per Bloomberg Billionaire’s index, the 10 top wealthiest Indians have fortunes valued at $147 billion as of latest closing prices. The stimulus announced by Prime Minister Narendra Modi is 1.8 times bigger than that. The stimulus amount is five times the personal wealth of Mukesh Ambani.
Equals m-caps of JPMorgan, MasterCard: The mega stimulus package announced by India equals individual market-caps of JPMorgan Chase and Mastercard, two global giants. Other global companies such as Intel, Verizon, Coca Cola and Pfizer have market values less than the Indian package.
17% of BSE market value: The Rs 20,00,000 crore stimulus roughly equals 17 per cent market value of all the listed stocks on BSE. BSE’s total market-cap stood at Rs 121 lakh crore at the end of Tuesday’s session.
One third of Jan-March fall in stocks: The stimulus is roughly over one-third of the Rs 58 lakh crore wealth erosion that BSE-listed stocks saw between January 17 and March 23, when the benchmark indices hit their lowest points.
10 times India’s divestment target: The package is worth nearly 10 times India’s aggressive divestment target of Rs 2.1 lakh crore for FY21. The government’s revised divestment target for FY20 stood at Rs 65,000 crore.
Double the size of India’s biggest listed firm: The package is worth double the enterprise value of India’s most valued company, Reliance Industries. At Tuesday’s closing price, RIL was worth Rs 9,88,946 crore.