| (The Editor's Pick is a new newsletter from The Hindu that provides a snapshot of the most important stories from today's edition of our newspaper, along with a note from our top editors on why we chose to give prominence to these stories.) The Reserve Bank of India has stated that the fall in economic activity during the coronavirus pandemic is "unprecedented in history". The data with the central bank indicate that the slight upward tick that was seen in May and June was transient. In its annual report, the RBI said that consumer confidence was at an all time low in July and August, with worries about inflation and employment abounding. While there was some positive news in rural areas with a good kharif sowing season, urban consumption has collapsed. The way out, according to the RBI, is increased government spending. Government consumption is what is expected to "pandemic-proof" the economy for the time being, with private consumption expected to take the lead only "when it takes hold" -- and that too with only essential consumption for the first part. In the very same report, the RBI points to the lowered incomes of Central and State governments, with the fall in issuance of e-way bills for GST collection. After the first quarter of the financial year, the central government is already operating at 83% of the fiscal deficit target for the whole year. SBI's economists have also indicated that the RBI is at the end of its cycle of rate cuts, putting the onus on the central government for further fiscal policy action to boost the economy. The unenviable picture that the RBI has painted for the Central government is what makes this story important. | 
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