No doomsday for Dalal Street: Here’s how Modi Cabinet helps Indian markets during crisis

While everyone is busy imagining how doomsday would look like in the economy, Dalal Street investors are smiling without a worry in the world, thanks to Indian government’s policy measures and booster shots.

Over the past 11 days, this support from the Modi government has helped the market quickly get over global headwinds, while treading its own path.

Modi government always recharges the Indian economy every time there is something wrong with the world economy.

A few measures adopted in the recent past include eased FDI and 7th pay commission, while a landmark tax reform is under the way to be implemented.

Some recent situations that demanded such actions were the exit of RBI governor Raghuram Rajan, followed by Brexit, which could have impacted the economy, but thanks to the timely action from the government, the effect was controlled.

Here's a look at how all this has worked, as per ET:

As soon as Raghuram Rajan announced his intention to leave RBI after this term, the government unveiled a slew of FDI reforms, allowing up to 100% FDI in aviation, 74% in pharma and 100% in defence.

As the Sensex tanked over 1,000 points after Brexit, rumours regarding the seventh Pay Commission became spreading.

Regarding Rajan’s replacement, since the economy depends a lot on this post, there are reports that the new RBI governor would be announced in July, while earlier it was being said that the announcement would happen only in August.

Last but certainly not the least, the push that the government is giving to GST, which is long awaited, there are hopes for further boost in the economy.

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