 "The analysts also say that weak domestic remittances (due to reverse migration) and weak perishables output (in the past few months) do not leave rural households to spend much on FMCG and other products")
The government's latest fiscal stimulus measures might not have the desired effect and more announcements are likely in the coming weeks to help revive the battered economy, according to analysts.
Economists at SBI Research and Wall Street brokerage BofA Securities on Tuesday pegged fiscal deficit at elevated 9.5 per cent and 12.7 per cent of the GDP, respectively, saying the new measures to boost consumer demand will increase deficit by 40 basis points.
SBI Research pegged the new fiscal impact at 17.8 per cent of GDP, given that most of it is done through the RBI open market operations, and the fiscal
