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Time for Covid-19 bonds - The Hindu BusinessLine


The proceeds could help combat the pandemic
With the second wave having knocked India badly, the revival will take longer than anticipated. Both the Centre and the States will be under severe pressure to pay salaries, pensions, service old debts, and spend on establishments, with the shrinking budget receipts. Corporates and financial institutions, on the other hand, will be wary of taking or extending credit in these uncertain times. Amidst this all, will be the phenomenal expenditure that would be incurred to tackle the ongoing pandemic.
According to the International Monetary Fund, India’s debt-to-GDP ratio preceding the pandemic was 74 per cent, which fell to almost 90 per cent by end of 2020. Given the onslaught of the second wave and possibility of widening deficits and contraction in economic activity, things look extremely bleak this year as well. ....

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How could Sir Keir Starmer's British Recovery Bonds work?


The Labour leader called for everyday savers to help fund Britain s recovery 
£125bn has been saved since March 2020 but just 10% will be spent 
He said British Recovery Bonds could raise billions for investment
The Government has raised money from savers during crisis times before - but what would this cost and what other challenges would face such a fundraise?  ....

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