New Delhi, Dec. 17 -- India's economy grew at a faster-than-expected 8.2% in the last quarter, driven by manufacturing and services as well as a recovery in private consumption. The recent GST rationalization has helped boost consumption, but Index of Industrial Production data for the past six months points to weak rural consumer spending.

Moreover, that growth was largely driven by capital-intensive and higher-skill sectors. As finance minister Nirmala Sitharaman prepares the next Union budget, her mandate is clear: the government must continue to stimulate demand without fiscal consolidation going awry.

Liquidity in the hands of people and enterprises that need it most is the missing piece that could help sustain our growth momentum....