Meeting fiscal deficit target will be 'tough': Rajan
NEW DELHI (Reuters) - India's economy will show signs of improvement in the second half of the year, but achieving the full year fiscal deficit target of 5.3 percent of gross domestic product will remain a tough ask, Chief Economic Advisor to the Finance Ministry Raghuram Rajan said on Monday.
In its mid-year economic review, the government said uncertainty over stake sales in state-run companies and soaring subsidies pose a challenge to reducing the fiscal deficit, which has put in peril the country's investment grade credit rating.
Addressing a news conference, Rajan also said inflationary pressures were expected to ease in the second half of the year, while industrial output was expected to improve. He expects GDP growth in the second half of the year to be around 6 percent.
(Reporting by Arup Roychoudhury; Editing by Anand Basu)
- Tweet this
- Share this
- Digg this
- Malaysia military tracked missing plane to west coast - source
- Rupee falls after sources say plan to join global debt index on hold
- UPDATE 5-GM hires law firms it works with to probe recall response
- Malaysia air probe finds scant evidence of attack - sources
- India halts plan to join global bond indexes, defers Euroclear - sources
MISSING MALAYSIAN PLANE
Malaysia is probing if any passengers or crew aboard a missing airliner had personal or psychological problems that might explain its disappearance, along with the possibility of a hijack, sabotage or mechanical failure. Full Article