The Sensex and Nifty on Thursday came under heavy selling pressure over fading hopes of a stimulus to revive economic growth.

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Chief Economic Advisor (CEA) K. Subramanian at a summit in New Delhi said the Indian economy does not need a fiscal stimulus to tackle the ongoing economic slowdown.

"We can`t expect the government to intervene every time some sectors go through sunset. Not all sectors are doing bad, some are doing well," the CEA said.

The benchmark Sensex fell sharply by 587.44 points or 1.59 per cent to 36,472.93 while the Nifty declined by 177.35 points or 1.62 per cent at 10,741.35.

Subramanian said policymakers need to be careful while deciding on any fiscal stimulus as a way to boost economic growth.

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