The state of Tamil Nadu now wants the economic activities to revive completely. The Rangarajan Committee established up by the government of Tamil Nadu has recommended the complete lifting of lockdown restrictions and contributing Rs 10,000 crore over and above the estimated amount on capital expenditure for reviving the economy. The Committee supervised by the former Governor of the Reserve Bank of India (RBI), was set up in May by the state government to come up with short and medium-term measures to revive the state’s economy from the COVID-19 impact.

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As per the reports, the Committee presented its report to CM Edappadi K Palaniswami on Monday, in which it has also suggested that the state use the Rs 3200 crore construction sector funds that are reposing idle to rejuvenate the economy. Recommending that the state government needs to find other ways to restrain the spread of the virus than imposing lockdowns, the Committee said that the state’s economy could reach pre-COVID levels in two months if the recommendations are followed. The Committee also secured the maximum economic growth that is possible during 2020-21 fiscal for Tamil Nadu at 1.71%.

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Recommending that the state government maintain its relief measures by giving free rice to people even after November, the Committee also said that the government may come up with an employment guarantee scheme for urban areas too, on the lines of Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), according to a report. The Committee further recommended that the state government spend Rs 5000 crore on expanding the health infrastructure in the state and for COVID-19 facilities.

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