The Indian Economy has been experiencing significant slowdown over the past few quarters. In
the third quarter of the current fiscal year, the economy grew at a six-year low rate of 4.7%.
Investment and consumption had been languishing and a number of stimulus measures have
been taken to bring the economy on a growth path. The new coronavirus epidemic has made
the recovery extremely difficult. The outbreak has presented fresh challenges for the Indian
Economy now, causing severe disruptive impact on both demand and supply side elements
which has the potential to derail India’s growth story -FICCI (Impact of Covid-19 on Indian
Economy}, March 20, 2020.
State and discuss any two measures that may be taken by Reserve Bank of India to improve the
situation indicated in the above news report.
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