In addition, stock prices appear to have stabilized. Therefore, in considering whether the economy can overcome the effects of fiscal tightening to sustain the trend of recovery, it is important to examine macroand micro-economic data, including the economic indicators that will be released in the future, signals from financial markets, and firms’ business plans for the next fiscal year.
The biggest hurdles facing the banking system are its requirements of documentation, its traditional models of assessing the credit needs of the MSMEs and many a time, the gap in the attitude and sensitivity of the bank officials.