Pushing Urban Poor to Take Loans is Wrong, Govt Needs to Give Income Support Instead—Jayati Ghosh

One of India’s well-known and highly regarded economists has said the government’s refusal to give income support to the unemployed and poor in its recently announced 6.28 lakh crore package but, instead, ask them to avail of government-guaranteed loans through microfinance institutions, which the Chief Economic Advisor has said they can default upon, is morally and economically wrong. Prof. Jayati Ghosh calls it “a terrible terrible mistake”.