Govt considers to boost spending by Rs 500 crore in FY18 to revive sluggish economic growth: Report

The central government has envisaged a plan to loosen the fiscal deficit target so that it could increase its spending by an additional 500 billion rupees ($7.7 billion) in the financial year ending in March 2018, two government sources told Reuters on Thursday. 

Both the officials declined to be named as the plan, aimed at reviving economic growth, is still to be made public.  "We have taken note of all the economic indicators available," Mr Jaitley told reporters. "The government will take any additional moves which are necessary."

He has held meetings with cabinet colleagues and other government officials over the past two days to devise a plan to reboot the economy.

Acknowledging that private investment was short in coming, Finance Minister Arun Jaitley said earlier today that the government will come out with "appropriate action" at the right time to boost the economy.