Mahindra group chairman Anand Mahindra, known for his charitable work and active presence on social media, warned the government of social issues post the COVID pandemic unless it "loosens the purse strings to support those at the bottom of the pyramid".
The chairman of the Mumbai-based conglomerate said sufferings of those who are at the bottom rung due to coronavirus cannot be ignored even though the current economic scenario looks desirable in terms of "numbers from large companies, auto and tractor sales looks wonderful".
He added, "If you have to print money, to use a crude word, the government is going to have to do it to prevent enormous deprivation." He said that the people belonging to the lower sections of the society have been the most affected, adding daily wage workers associated with small and medium enterprises have been impacted the most since MSMEs cut jobs and consolidated supply sources in the face of this unforeseen crisis.
Not only did the veteran industrialist talk about the grim realities of our economy, he also brought to fore the various social issues such as domestic violence against women and higher suicide rates that have cropped up due to the COVID-19 lockdown.
Mahindra suggested deficit financing via local route as an option for the Centre to support those affected the most by the lockdown. Mahindra also mentioned that after one of the strictest lockdowns globally, India has seen economic recovery and it is reflected in good tractor and automobile sales.
(Edited by Mehak Agarwal with agency inputs)