New Delhi: To prepare for unforeseen economic shocks in the context of the war in West Asia, the Finance Ministry on Wednesday sought Parliamentary approval to establish a ₹1 lakh crore ‘Economic Stabilisation Fund’.
“The ongoing war in West Asia and the Gulf region is causing a lot of volatility in various markets. To reduce the impact of such extreme volatility, this fund has been proposed,” a senior government official told businessline. More than half of the requirement of funds will be met through fresh cash outgo, while the remainder will come from savings, the document related to the second batch of Supplementary Demands for Grants (SDG) showed.
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