edited by: Namit Singh Sengar
Last Update: January 12th, 2023, 3:30 PM IST
Budget 2023: The focus is expected to remain on the housing sector. (Representational Image)
Budget 2023: The global financial services firm said the government will tighten its fiscal deficit target of GDP in the new financial year, leading to a reduction in food and fertilizer subsidies.
goldman sachs hopes India to reduce its fiscal deficit target for fiscal year 2023-24 by 50 basis points as it balances spending priorities and fiscal prudence in the upcoming budget, news agency Bloomberg Reported.
The global financial services firm said the government will tighten its fiscal deficit target of GDP in the new financial year, helped by a reduction in food and fertilizer subsidies.
Bloomberg quoted Goldman economists Andrew Tilton and Shantanu Sengupta as saying the focus is likely to be on rural employment and housing.
Budget Expectations-2023 Live Updates
Economists have written that the government will maintain capital expenditure and increase welfare spending as seen in the pre-election budget.
He expects the government’s borrowing to remain high in the new financial year.
In addition, India’s fiscal deficit for the first seven months of fiscal year 2022-23 was pegged at Rs 7.58 lakh crore, or 45.6% of the annual estimate.
Presenting the budget for the current financial year on February 1, 2022, Union Finance and Corporate Affairs Minister Nirmala Sitharaman had said that the fiscal deficit in 2022-23 is estimated to be 6.4 per cent of GDP.
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