Fiscal deficit is the shortfall in a government's income compared with its spending. It is calculated as a percentage of the gross domestic product, or the total spent in excess of the income. More
The clarity in the government announcement should help in reducing uncertainties and anchoring market sentiment over the coming weeks, especially given the intelligent selection of the maturity buckets for the additional borrowing that enjoy strong demand
The IMF’s fiscal monitor estimates India’s overall fiscal deficit to be 13.1 percent of GDP in FY21 and to remain above 10 percent till FY23
Speaking at a programme organised by the ICFAI Business School, the former Chairman of the Economic Advisory Council to the Prime Minister said banks should neither be timid nor adventurous while lending as the loans of today should not become NPAs of tomorrow.
The unofficial objective of disinvestment since 1991 has always been this: Bridge the gap of fiscal deficit
Larger states like Maharashtra, Bihar, Tamil Nadu, Uttar Pradesh, Madhya Pradesh, Rajasthan, Karnataka, Jharkhand and Odisha did not use the liquidity window at all in the first quarter.
Finance Minister Nirmala Sitharaman has assured repeatedly that there will be no compromise on capital expenditure by the centre and the state-owned companies. However, data showed that the centre’s capital expenditure of Rs 22,598 crore in August was the lowest among all months so far this year
Actual revenue receipts fell short of the RE by Rs 1.86 lakh crore (9.35 percent). As a result of this shortfall, despite compression of revenue expenditure as compared to the RE by Rs 1.42 lakh crore (5.94 percent), the actual revenue deficit was higher than anticipated by Rs 43,440 crore, CAG has found
The fiscal deficit during the first four months of the current fiscal year is 50 percent more than in the same period last year
On the other hand, there is a sharp increase in expenditure (by 13.1 percent) due to additional spending incurred to save lives and livelihoods and to provide stimulus under the 'Aatmanirbhar Bharat' programme.
Economists and experts expect the fiscal deficit to touch 7 percent of GDP in the current financial year.
Lower revenues and higher expenditure led to a much higher deficit, supporting growth
Net tax receipts were 1.35 trillion rupees ($18.05 billion), while total expenditure was 8.16 trillion rupees, the data showed, indicating the government was front-loading its spending to combat the impact of the coronavirus.
India Ratings and Research Chief Economist DK Pant said the pandemic hit at a time when the Indian economy was already experiencing a slowdown due to weakness in consumption demand
A continued and substantial general fiscal deficit is required to satisfy the domestic private sector’s desire for financial security
The Government of India must run a deficit and accumulate debt so that private sector desire for secure and risk-free savings can be met
The Indian government has been able to wean itself off its addiction to deficit financing from the central bank only after liberalisation. Will it now go back to monetising deficits?
Why doesn’t the RBI print money, hand it over to the government and let it distribute the cash among those who need it the most? The policy toolkit has no levers to deal with economy-wide forced lockdowns for an undefined period of time. It may just be the right time for a helicopter drop of money. For, no one knows how long this slide will last.
A Rs 20 lakh crore economic package did lift sentiment, but as the five-part plan was unveiled it fell woefully short on substance.
In the case of the Centre, the fiscal gap will increase by 200 bps as earlier this month it hiked market borrowings by a whopping Rs 4.2 lakh crore or 54 percent over the budget estimate to Rs 12 lakh crore, citing the pandemic. Another 80 bps increase will be on account of the fiscal boost.
Pakistan began a phased lifting of its countrywide lockdown last week despite a rising rate of cases – a move pushed primarily by fears of an economic meltdown. The country has reported 35,788 COVID-19 cases and 770 deaths.
The government has announced a cumulative package of Rs 20 lakh crore, which is nearly 10 percent of GDP to provide relief to various segments of the coronavirus-hit economy.
Economists say the shortfall in tax revenues this year for the government will be almost 1 percent of GDP, due to weak economic activity.
India has spent more than a month in a nationwide lockdown, with its industries shut, to stem the coronavirus pandemic that has caused 26,496 infections and 824 deaths, among 2.97 million cases worldwide.
Bank boards must clear the policy on offering moratorium on loans; RBI has approved it and the onus now remains on the banks, RBI Governor Shaktikanta Das told Cogencis in an interview. Read on for the key highlights
Moody’s says policy space is constrained for countries with existing fiscal challenges