The government has limited avenues to stimulate the economy to beat note-ban gloom

Mumbai: Three months into a cash ban that has sucked out momentum from one of the world’s fastest-growing economies, Prime Minister Narendra Modi has little room to boost spending.

While economists urge more investment in roads, ports and railways when the government presents its budget on 1 February, and maybe even direct cash transfers to boost consumption, a splurge carries the risk of a rating downgrade. India is rated just one step above junk by S&P Global, Moody’s and Fitch, who cite Asia’s widest budget deficit as a drag on the sovereign rating.