Expenditure likely to be re-scheduled after PM Modi's New Year sops

These sops could lead to higher borrowing & re-setting of the existing fiscal stabilisation schedule

The schemes and incentives announced by Prime Minister Narendra Modi in his December 31 address are the first chapter in a populist playbook that ends with the 2017-18 Budget.
 

Underwriting this plan is a likely expenditure spree, which could lead to higher borrowing and re-setting of the existing fiscal stabilisation schedule.

On Saturday evening, Modi presented a mini budget of sorts, at the end of the 50-day demonetisation exercise. His announcements were squarely focused on those most affected by the ban — farmers, small businesses, women, senior citizens, poor and the lower middle class.

There were interest rebates and