President Pranab Mukherjee was the Finance Minister when the stimulus was provided to the industry. Chidambaram succeeded him as Finance Minister in August 2012.
Recalling his return, Chidambaram said, "Fiscal deficit limits had been breached. The CAD had swelled. These were the two main challenges, apart from the number of other challenges that we had to face."
After that he claimed that situation had improved till the unexpected development on May 22, 2013, when the US Federal Reserve announced tapering of bond purchases which sent the emerging markets in a tizzy.
"In the last 12 months there have been days when I have been more upbeat; days when I been more downcast. But the fact is some stability did return to the economy until a completely unexpectedly unexpected event took place on May 22, 2013", he said.
He attributed tumbling of rupee to that announcement of Federal Reserve.
The rupee on Tuesday breached the 66 to a dollar level in the intra-day trade, while the BSE Sensex nosedived by 590 points to settle below 18,000 mark.