Finance Minister Nirmala Sitharaman has set a fiscal deficit target of 6.4 percent of GDP for FY23. Analysis of the budget numbers show this is eminently achievable. However, the Centre's fiscal consolidation challenge turns uphill rapidly if it is to meet its medium-term target of lowering the deficit to under 4.5 percent by FY26. Assuming the government improves its finances at the same rate until FY26, the fiscal deficit would have to be lowered to 5.8 percent in FY24 and 5.2 percent in FY25, leaving it with the task of cutting the deficit by 70 basis points in FY26 – a job that will be far from easy.