NEW DELHI: Markets opened on a positive note on Wednesday with the benchmark BSE sensex rising over 1,100 points after Prime Minister Narendra Modi announced a mega stimulus package of Rs 20 lakh crore aimed at supporting the battered economy due to weeks-long lockdown to curb the novel coronavirus. The entire package is around 10 per cent of the country’s GDP (gross domestic product).
The 30-share BSE index jumped 1,129 points or 3.60 per cent to trade at 32,500; while the broader NSE Nifty rose 316 points or 3.43 per cent to trade at 9,512.
Hero MotoCorp, ICICI Bank, LT, HDFC Bank, Axis Bank, Maruti and Bajaj Finance were the major gainers in the sensex pack, with their stocks rising as much as 6.83 per cent.
While Nestle India, TCS, Bharti Airtel, Sun Pharma and HCL Tech were the only losers.
In a big push to revive the COVID-hit economy, PM Modi on Tuesday announced massive new financial incentives on top of the previously announced packages for a combined stimulus of Rs 20 lakh crore, saying the coronavirus crisis has provided India an opportunity to become self-reliant and emerge as the best in the world.
Apart from the Reserve Bank of India (RBI) assistance, the government had last month announced a Rs 1.74 lakh crore to provide benefits to the poor, including cash transfers, Rs 50 lakh insurance cover and steps to ensure food security.
Modi added that the special economic package will have emphasis on land, labour, liquidity and laws, and will be for “our labourers, farmers, honest tax payers, MSMEs and cottage industry.”
The details of the package will be announced by finance minister Nirmala Sitharaman later in the day.
In the previous session, sensex staged a late recovery to pare losses but still settled 190.10 points or 0.60 per cent lower at 31,371.12. Similarly, the NSE Nifty declined 42.65 points, or 0.46 per cent, to 9,196.55.
(With agency inputs)