All eyes are on the Budget 2018 which is expected to strike a fine balance between credible fiscal math and strike the right balance between populism and fiscal prudence.
The government might not be able to meet the fiscal deficit target for FY18 but analysts’ expect the government to revert to fiscal consolidation roadmap with a target of 3.2 percent for 2018-19.
Fiscal slippage in 2017-2018 with a revised figure for the gross fiscal deficit at around 3.5 percent as against the estimate of 3.2 percent given in the budget. However, the government is likely to revert to fiscal consolidation roadmap with a target of 3.2 percent for 2018-2019.
The Union Budget 2018-2019 on increased spending on affordable housing, infrastructure, and rural economy along with no major changes in the direct taxation structure would be sufficient to sustain momentum in the markets, suggest experts.