Page 33 - Latest Updates on Fiscal Deficit
Back to February 28
Variation between revised and final Budget numbers has grown
 "Back to February 28")
Why Moody's downgrade is not a bolt from the blue but still not justified
While this downgrade will not affect the sovereign as it does not borrow overseas, it will however affect Indian companies borrowing from abroad
 "Why Moody's downgrade is not a bolt from the blue but still not justified")
GDP data: Yet another huge knock for Modi govt's economic growth story
India's economic growth falls for a third successive year, fiscal deficit widens to 4.6%; agriculture and govt spending prevent further decline
 "GDP data: Yet another huge knock for Modi govt's economic growth story")
Govt unlikely to press for hike in GST rates for non-essentials next month
However it will have to find ways in which essential and non-essential items can be segregated
 "Govt unlikely to press for hike in GST rates for non-essentials next month")
Fiscal deficit widens to 4.6% of GDP in FY20 on poor revenue realisation
The deficit, which signifies the gap between government revenue and expenditure, is higher than the revised estimate of 3.8 per cent for the fiscal
 "Fiscal deficit widens to 4.6% of GDP in FY20 on poor revenue realisation")
RBI issues cash management bills worth Rs 80,000 cr after good response
The RBI received bids of Rs 3.45 trillion, or more than four times the amount on offer.
 "RBI issues cash management bills worth Rs 80,000 cr after good response")
India's (im)possible road ahead
Better implementation of policy measures and reaching out to those left behind are needed next
States' fiscal deficit to rise to 4.5% of GSDP in FY21: Ind-Ra
The 20 states considered in the analysis constituted nearly 86 per cent of the budgeted aggregate revenue receipts for FY20.
 "States' fiscal deficit to rise to 4.5% of GSDP in FY21: Ind-Ra")
States' aggregate fiscal deficit to rise to 4.5% of GSDP in FY21: Ind-Ra
The agency's earlier forecast was 3%; it says state governments were already facing a lower-than-budgeted share in central taxes and subdued own revenue growth, when the 21-day lockdown was imposed
 "States' aggregate fiscal deficit to rise to 4.5% of GSDP in FY21: Ind-Ra")
No restrictions on utilisation of additional borrowing by states: FinMin
It is to be noted that the basic limit of 3 per cent remains unconditional, while only additional one per cent out of the two is linked to citizen centric reforms, Finance ministry official said.
 "No restrictions on utilisation of additional borrowing by states: FinMin")
All options open to govt to monetise deficit under RBI guidance: N K Singh
He said all options should be open to the sovereign in consultation with the Reserve Bank of India (RBI)
 "All options open to govt to monetise deficit under RBI guidance: N K Singh")
I've to be careful, am answerable to Parliament: FM Nirmala Sitharaman
Nirmala Sitharaman tells Indivjal Dhasmana & Nivedita Mookerji that the government has made sure that mistakes committed during 2008-2013 are not repeated while announcing the Rs 20-trillion package.
 "I've to be careful, am answerable to Parliament: FM Nirmala Sitharaman")
Door open for stimulus 6.0; govt with industry: FM Nirmala Sitharaman
Calling her stint as FM during the pandemic "the most challenging assignment yet", Sitharaman said she was not upset with the criticism that the recent stimulus package was too little
 "Door open for stimulus 6.0; govt with industry: FM Nirmala Sitharaman")
Fiscal math of the imponderables
Growth holds the key to the government's fiscal deficit slippage
 "Fiscal math of the imponderables")
Borrowing limit raised, but states won't rush to make use of the chance
Only eight states will qualify for the extra borrowing, as they have to meet stiff conditions on ease of doing business.
 "Borrowing limit raised, but states won't rush to make use of the chance")
Post stimulus, fiscal deficit of Centre, states to be at 12% of GDP: Report
In the case of states, the fiscal gap will rise by 200 bps after the Centre hiked the borrowing limit of states to 5 per cent of GSDP on Sunday
 "Post stimulus, fiscal deficit of Centre, states to be at 12% of GDP: Report")
Govt's fiscal cost could be less than 11% of total economic package
Not all of this amount will necessarily be borne in fiscal year 2020-21
 "Govt's fiscal cost could be less than 11% of total economic package")
Higher borrowing can see FY21 combined fiscal deficit hit 12%: Economists
Net borrowing ceiling for 2020-21 was earlier pegged at Rs 6.41 trillion (3 per cent of gross state domestic product), and the states have thus far borrowed merely 14 per cent of this authorised limit
 "Higher borrowing can see FY21 combined fiscal deficit hit 12%: Economists")
Fiscal stimulus by FM is mostly credit oriented, says Subhash Chandra Garg
He said that the fiscal stimulus, by its very nature, is additional fiscal burden on the public finances
 "Fiscal stimulus by FM is mostly credit oriented, says Subhash Chandra Garg")
Expect a stimulus, even at the cost of high fiscal deficit: Venu Srinivasan
The government has given loans and ensured that companies, SMEs in particular, dont sink due to the crisis
 "Expect a stimulus, even at the cost of high fiscal deficit: Venu Srinivasan")