Govt's Rs 20-lakh cr stimulus package to revive commercial vehicle industry, says Ashok Leyland MD

The government’s Rs 20 lakh crore special economic package has the potential to be 'sustainably beneficial' to all sectors of the economy and help revive commercial vehicle industry, in particular, Ashok Leyland MD and CEO Vipin Sondhi said on Wednesday

Press Trust of India May 13, 2020 12:30:28 IST
Govt's Rs 20-lakh cr stimulus package to revive commercial vehicle industry, says Ashok Leyland MD

Mumbai: The government’s Rs 20 lakh crore special economic package has the potential to be "sustainably beneficial" to all sectors of the economy and help revive commercial vehicle industry, in particular, Ashok Leyland MD and CEO Vipin Sondhi said on Wednesday.

Prime Minister Narendra Modi on Tuesday announced a stimulus package worth Rs 20 lakh crore, which combines the government''s recent announcements on supporting key sectors as also measures rolled out by the Reserve Bank of India (RBI).

"While we await the details, the announcement of the reforms-cum-stimulus to the tune of 10 percent of GDP… has the potential to be sustainably beneficial to all sectors of the economy," Sondhi said.

Govts Rs 20lakh cr stimulus package to revive commercial vehicle industry says Ashok Leyland MD

Representational image. Reuters

In particular, the commercial vehicle (CV) industry will stand to gain, he stated.

The domestic automobile sector reported more than 18 percent drop in sales at 2,15,48,494 units and a 15 percent decline in vehicle production to 2,63,62,284 units in FY20, according to Society of Indian Automobile Manufacturers (SIAM) data.

Click here to follow LIVE news and updates on stock markets

CV sales during this period declined 28.75 percent to 7,17,688 units year-on-year.

The massive thrust on self-reliance, along with the focus on creating local demand, and resurrecting local supply chains should provide enough impetus to kick start the economy, Sondhi said.

As the COVID-19 pandemic rages on, all these measures are the need of the hour and "more than expected, given the limited fiscal room that was available," he added.

"With the pride of Make-in-India through quality, we look forward to a stronger, self-reliant India where everyone prospers," he said.

Updated Date:

also read

'Unprecedented' curbs on freedom of expression since outbreak of pandemic, says Amnesty International report
World

'Unprecedented' curbs on freedom of expression since outbreak of pandemic, says Amnesty International report

The report, "Silenced and Misinformed: Freedom of Expression in Danger During COVID-19" stated that amid the pandemic, journalists and health professionals have been silenced and imprisoned

A billion vaccines now: Centre urges states, UTs to focus on increasing second dose coverage
India

A billion vaccines now: Centre urges states, UTs to focus on increasing second dose coverage

The cumulative vaccine doses administered so far under the nationwide COVID-19 inoculation drive, which was launched on 16 January by Prime Minister Narendra Modi, has exceeded 99 crore

Brazil's unvaccinated president Jair Bolsonaro angry at missed football game
Sports

Brazil's unvaccinated president Jair Bolsonaro angry at missed football game

The protocol agreed by the Brazilian football confederation says all people inside stadiums must be vaccinated and recently tested.