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Govt can attempt stimulus exit in Budget
February, 10th 2010

The government could provide a roadmap for exiting from the fiscal stimulus when it presents its budget on February 26, Chairman of the Prime Minister's Economic Advisory Council, C Rangarajan, said on Wednesday.

"What I am saying is the Budget can attempt a roadmap for exit," Rangarajan told reporters. The stimulus exit should be a gradual transition, he added.

Further, he said that the Reserve Bank of India (RBI) will watch the price situation before taking any action on the monetary front, a top government adviser said on Wednesday.

They will watch the behaviour of prices before they take a decision," said C. Rangarajan, chairman of Prime Minister Manmohan Singh's Economic Advisory Council, when asked if he expected any monetary measures ahead of the April policy review.

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