Page 4 - Latest Updates on Fiscal Policy
RBI policy: Here is why the central bank needs to stop raising rates
RBI, following conventional wisdom, is guilty of wanting to show that it's doing something to bring down inflation while perhaps helping worsen it by slowing down efforts to increase capacity, output
Govt likely to roll back states' ability to borrow more, says report
New Delhi has already stopped compensating states for the switch to the Goods and Services Tax regime from this year
 "Govt likely to roll back states' ability to borrow more, says report")
Demand for musical instruments up; Chennai, Kolkata rank as top exporters
India exported $22 million worth of musical instruments and their accessories in the first half of the current fiscal year, as compared to $38.5 million in the previous year
 "Demand for musical instruments up; Chennai, Kolkata rank as top exporters")
Budget 2023: Exporters urge govt for fiscal incentives, lower customs duty
The meeting took place at a time when external demand is waning as exporters are facing global headwinds of high inflation, currency depreciation and geopolitical tensions
 "Budget 2023: Exporters urge govt for fiscal incentives, lower customs duty")
PMGKAY likely to end in December on fiscal, foodgrain constraints
"The food subsidy burden is already crossing Rs 3 trillion and we are hopeful that it will be brought down below that mark," said a senior government official
 "PMGKAY likely to end in December on fiscal, foodgrain constraints")
Bad structure, irresponsible politics behind India's poor fiscal governance
Instead of municipalities and states depending on transfers from the Centre, it should be the other way around
 "Bad structure, irresponsible politics behind India's poor fiscal governance")
Best of BS Opinion: Increasing responsibilities, the governor's role & more
Here is the best of Business Standard's opinion pieces for today
 "Best of BS Opinion: Increasing responsibilities, the governor's role & more")
Increasing responsibilities
Fiscal management will become more difficult
 "Increasing responsibilities")
The state of states: Have they really been fiscally profligate?
A couple of states may be guilty of fiscal imprudence. But why tar all of them with the same brush?
 "The state of states: Have they really been fiscally profligate?")
On high inflation, here is what RBI needs to tell govt: It is your fault
All the research since 1980 shows that loose fiscal policy causes inflation, and the RBI MPC needs to tell the govt just that
Act now to bring down inflation, safeguard financial stability: IMF Chief
The International Monetary Fund urged policy makers across the world to act now to bring down inflation, put in place responsible fiscal policy, and safeguard financial stability
 "Act now to bring down inflation, safeguard financial stability: IMF Chief")
13 states can incur capex worth Rs 7.4 trillion in FY23: ICRA report
Spending space available without pressure to their fiscal profile, says agency
 "13 states can incur capex worth Rs 7.4 trillion in FY23: ICRA report")
56 mn Indians may have turned poor in 2020 due to pandemic: World Bank
"The global goal of ending extreme poverty by 2030 is likely to be missed: by then, about 600 million people will remain in abject poverty. A major course correction is needed," Indermit Gill said.
 "56 mn Indians may have turned poor in 2020 due to pandemic: World Bank")
Mid-course changes in gas pricing to delay investments, says Reliance
Reliance Industries has told a government-appointed panel reviewing gas pricing that any 'retrograde' move to artificially cap rates will add to fiscal policy instability
 "Mid-course changes in gas pricing to delay investments, says Reliance")
Depreciating rupee not likely to cause fiscal slippage, say experts
Petroleum, fertiliser imports to become expensive, subsidy bill set to rise
 "Depreciating rupee not likely to cause fiscal slippage, say experts")
Managing inflation can't just be left to RBI: FM Nirmala Sitharaman
'Monetary and fiscal policies have to work in tandem; importing Russian oil part of inflation management'
 "Managing inflation can't just be left to RBI: FM Nirmala Sitharaman")
RBI should be more synchronised with fiscal policy to tackle inflation: FM
Finance Minister Nirmala Sitharaman on Thursday said the Reserve Bank will have to be more synchronised with the fiscal policy and other factors in taming inflation
The RBI MPC serves no purpose other than cosmetic and should be dismantled
There are two insurmountable hurdles in the path of RBI's independence on monetary policy. These hurdles make committees redundant
Policy tightening to pressure FY23 numbers, deficit seen at 6.7%: Report
The government has pegged the combined fiscal shortfall at 9.8 per cent of which the central deficit is seen at 6.4 per cent (down from 6.7 per cent in FY22) and states' at 3.4 per cent for FY23.
 "Policy tightening to pressure FY23 numbers, deficit seen at 6.7%: Report")
The rebalancing act
Excess policy accommodation will affect growth
 "The rebalancing act")
