India (which recently received £825 million of your money in foreign aid from Gordon Brown) has announced $4bn (£2.72bn) in extra spending to boost its own economy as the global financial crisis tightens.
The Indian government said it was also planning a substantial spending increase in next year's budget. The move came as the Reserve Bank of India cut its key interest rate by one percentage point, from 7.5% to 6.5%, on Saturday to encourage spending.
It is the third time since October the central bank has cut rates, which are now at their lowest since June 2006. Prime Minister Manmohan Singh's office said in a statement: "The government has decided to seek authorisation for additional planned expenditure of up to 200bn rupees ($4bn) in the current year."
The Indian prime minister's office said the government was keeping a close watch on the economic situation and would take any additional needed to "maintain the pace of economic activity". Under the plan, various categories of tax will be cut by up to 4 percentage points to encourage consumer spending.
The package also includes measures to boost infrastructure spending, help businesses, and aid labour-intensive export sectors such as textiles and handicrafts.
Mr Singh, who recently took control of the finance ministry, last week forecast that India's economy would grow by 7.5% in the year to March 2009. Whilst the British economy disappears down the shit house....