Budget 2023: Ahead Of 2024 Elections, Govt Likely To Continue Fiscal Consolidation, Says Report
ABP NewsThe Narendra Modi government is expected to remain on the path of fiscal consolidation in the last full Budget before the 2024 elections. According to the survey, more than 80 per cent of the economists said that fiscal consolidation was likely to be the dominant theme in the budget to be announced on February 1. But the pandemic severely affected the government's finances, pushing the fiscal deficit for 2020-21 to a record 9.3 per cent of gross domestic product, significantly higher than the budgeted 3.5 per cent, the report said. On Tuesday, Finance Minister Nirmala Sitharaman said that despite external shocks and global uncertainties, it intends to meet the fiscal deficit target of 4.5 per cent of GDP by the end of the year 2025-26. The survey of economists said that economic growth is likely to slow to an annual 4.6 per cent in the December quarter from 6.3 per cent reported in the preceding quarter.