Govt may have to cut capex by Rs 70,000 cr: SBI Research

However, it notes, there are alternatives on both targets and fiscal consolidation

While corporate India wants a fiscal stimulus for the economy, the government might have to cut its capital expenditure by Rs 70,000 crore to ensure the financial year's fiscal deficit doesn't cross the targeted 3.2 per cent of gross domestic product (GDP), says SBI Research. 

To make up, it might rely on the investible surplus of public sector units, it says. As an alternative, the target might be postponed, by expanding it the deficit this year to 3.5 per cent of GDP. In this case, it might not resort to extra market borrowing, said Soumya Kanti Ghosh, chief economist with