The Modi government may slash its food and fuel subsidy bill by about $8 billion in next week's budget, two sources said, but despite the impressive headline, the cut is not as radical as free market champions had hoped for in Prime Minister Narendra Modi's first full budget. Most of the 20% cut in the budget for subsidies results from lower global oil prices rather than structural changes, with the government's appetite for reform tempered by a heavy local election defeat in New Delhi this month. "The total subsidy bill could come down to around Rs 2 ...
Govt may cut subsidy bill by 20% in Budget
May disappoint investors as most of the cuts are from lower global oil prices rather than structural changes