Odisha News, Odisha Latest news, Odisha Daily - OrissaPOST
  • Home
  • Trending
  • State
  • Metro
  • National
  • International
  • Business
  • Feature
  • Entertainment
  • Sports
  • More..
    • Odisha Special
    • Editorial
    • Opinion
    • Careers
    • Sci-Tech
    • Timeout
    • Horoscope
    • Today’s Pic
  • Video
  • Epaper
  • News in Odia
  • Home
  • Trending
  • State
  • Metro
  • National
  • International
  • Business
  • Feature
  • Entertainment
  • Sports
  • More..
    • Odisha Special
    • Editorial
    • Opinion
    • Careers
    • Sci-Tech
    • Timeout
    • Horoscope
    • Today’s Pic
  • Video
  • Epaper
  • News in Odia
No Result
View All Result
OrissaPOST - Odisha Latest news, English Daily -
No Result
View All Result

Budget 2020 may push back fiscal deficit MTFP target

Indo-Asian News Service
Updated: January 20th, 2020, 15:25 IST
in Business
0
Share on FacebookShare on TwitterShare on WhatsAppShare on Linkedin

New Delhi: The fiscal deficit for FY20 and its roadmap for FY21 could be heading towards a recalibration with the February Budget slated to hint at the targeted 3 per cent fiscal deficit for the next financial year be pushed to 2022-23, people associated with the developments said.

“Fiscal deficit roadmap and numbers are likely to be revised for current and next fiscal. Budget is likely to announce the recalibration of the 3% fiscal deficit target for FY21 as estimated under the Medium Term Fiscal Policy (MTFP) to be pushed to 2022-23 instead of 2020-21 and for FY20, the target of 3.3% could now be touching 3.8%.The fiscal deficit for 2020-21 could now be expected at 3.9%-4%”, sources said .

Also Read

Air India plane crash

AI 171 crew acted in line with responsibility under challenging conditions: AI Pilots’ grouping ICPA

20 hours ago
Production Linked Incentive Scheme or PLI scheme

Electronics, pharma sectors corner 70% of PLI disbursements in FY25

22 hours ago

This is because there is no support from disinvestment and tax revenues, all falling behind target and it would be optimistic to expect they would substantially improve in FY21, sources said.

Also the government does not want to give any signal of an over-optimistic macro position and ambitious futuristic data on tax and fiscal deficit since it is facing transparency and accuracy issues of these figures. Any over-optimistic macro projection will not be backed by the current economic performances as reflected by the core sector Index of Industrial Production (IIP) (who are lagging), inflation, Reserve Bank of India (RBI) and National Statistical Office (NSO) projections apart from a host of global agencies like the International Monetary Fund (IMF), World Bank and the Asian Development Bank (ADB), sources said.

Without Bharat Petroleum Corporation (BPCL) and Air India, the disinvestment target of Rs 1,05,00 cr has come down to just Rs 18,000 crore. The November tax revenue shows that only 46 per cent of the Rs 16.50 lakh crore net tax revenue target has been achieved, while it is ruled out that the remaining could be achieved in four months, said people in the know.

An economist with a leading public sector bank said the government can no longer just say fiscal deficit targets are met and there is no excess gap between expenditure and revenue. If they do so with the macro pointers not backing those claims, an accuracy and credibility issue will arise.

With the sharp moderation in growth, industry has also demanded an expansionary fiscal policy.

“The time has come to adopt an expansionary fiscal policy. Just like our medium-term inflation target range, we can have a Flexible Fiscal Policy target which will set a central target for the fiscal deficit with a range of around 0.5% to 0.75%. The additional availability of funds may be spent on key infrastructure projects which can be implemented quickly. This is likely to have a significant multiplier effect on the economy”, Uday Kotak, President-Designate, CII, said in the CII Budget presentation, adding that in subsequent years there can be a glide path to converge to the Fiscal Responsibility and Budget Management (FRBM) trajectory over a 2-3-year time frame.

As per the medium term fiscal policy cum fiscal policy strategy statement tabled in Parliament, the government is aiming to contain the fiscal deficit at 3.4 per cent in the current as well as the next fiscal, and then bring it down to 3 per cent in 2020-21.

But the government has been categorically denying any move to lower the target of fiscal deficit for the current financial year. In November the government stated that it does not intend to revise its fiscal deficit target of 3.3 per cent of gross domestic product (GDP) for the current financial year despite the slowdown in economic activities. Minister of State for Finance Anurag Thakur said “NO” in a written reply in the Rajya Sabha to a query if the government intends to revise the fiscal deficit target in view of the economic slowdown.

Tags: Anurag ThakurBudget 2020economic slowdownRajya sabha
ShareTweetSendShare
Suggest A Correction

Enter your email to get our daily news in your inbox.

 

OrissaPOST epaper Sunday POST OrissaPOST epaper

Click Here: Plastic Free Odisha

slide 2 to 4 of 30
#MyPaperBagChallenge

Jhili Jena

December 12, 2019
#MyPaperBagChallenge

Sitakanta Mohanty

December 12, 2019
?????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????
#MyPaperBagChallenge

Dibya Ranjan Das

December 12, 2019
#MyPaperBagChallenge

Pitabas Tripathy

December 12, 2019
#MyPaperBagChallenge

Aman Kumar Barisal

December 12, 2019
#MyPaperBagChallenge

Chinmay Kumar Routray

December 12, 2019
#MyPaperBagChallenge

Adyasha Priyadarsani Sendha

December 12, 2019
#MyPaperBagChallenge

Kamana Singh

December 12, 2019
#MyPaperBagChallenge

Smitarani Sahoo

December 12, 2019
#MyPaperBagChallenge

Amritansh Mishra

December 12, 2019
#MyPaperBagChallenge

Swarit Praharaj

December 12, 2019
#MyPaperBagChallenge

Ramakanta Sahoo

December 12, 2019
#MyPaperBagChallenge

Rajashree Manasa Mohanty

December 12, 2019
#MyPaperBagChallenge

Tapaswini Mallick

December 12, 2019
#MyPaperBagChallenge

Faiza Firdous

December 12, 2019
#MyPaperBagChallenge

Archit Mohapatra

December 12, 2019
#MyPaperBagChallenge

Nishikant Rout

December 12, 2019
#MyPaperBagChallenge

Priyasha Pradhan

December 12, 2019
#MyPaperBagChallenge

Mrutyunjaya Behera

December 12, 2019
#MyPaperBagChallenge

Akshaya Kumar Dash

December 12, 2019
#MyPaperBagChallenge

Pratik Kumar

December 12, 2019
#MyPaperBagChallenge

Sarfraz Ahmad

December 12, 2019
#MyPaperBagChallenge

Mandakini Dakua

December 12, 2019
#MyPaperBagChallenge

Anup Mahapatra

December 12, 2019
#MyPaperBagChallenge

Pratik Kumar Ghibela

December 12, 2019
#MyPaperBagChallenge

Arya Ayushman

December 12, 2019
#MyPaperBagChallenge

Sipra Mishra

December 12, 2019
#MyPaperBagChallenge

Geetanjali Patro

December 12, 2019
#MyPaperBagChallenge

Rajashree Pravati Mohanty

December 12, 2019
#MyPaperBagChallenge

Aishwarya Ranjan Mohanty

December 12, 2019
#MyPaperBagChallenge

Jhili Jena

December 12, 2019
#MyPaperBagChallenge

Sitakanta Mohanty

December 12, 2019
?????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????
#MyPaperBagChallenge

Dibya Ranjan Das

December 12, 2019
#MyPaperBagChallenge

Pitabas Tripathy

December 12, 2019

Archives

Select Month

    Editorial

    ECI & Aadhaar

    Election Commission of India
    July 14, 2025

    Many of the acts of omission and commission by the Election Commission of India (ECI) in the recent past have...

    Read more

    Socialist Democrat

    Aakar Patel
    July 13, 2025

    One of the most remarkable democratic developments of recent times came from New York City this month. A 33-year-old man...

    Read more

    Tripura’s IAS Exodus

    July 12, 2025

    It’s hard not to see the flight of over a dozen IAS officers from Tripura’s cadre as a crypto-threshold moment....

    Read more

    Toll Sucks Life

    Nitin Gadkari
    July 9, 2025

    Union Road Transport and Highways Minister Nitin Gadkari took everyone by surprise when at a function in Nagpur, where the...

    Read more
    • Home
    • State
    • Metro
    • National
    • International
    • Business
    • Editorial
    • Opinion
    • Sports
    • About Us
    • Advertise
    • Contact Us
    • Jobs
    Developed By Ratna Technology

    © 2024 All rights Reserved by OrissaPOST

    • News in Odia
    • Orissa POST Epaper
    • Video
    • Home
    • Trending
    • Metro
    • State
    • Odisha Special
    • National
    • International
    • Sports
    • Business
    • Editorial
    • Entertainment
    • Horoscope
    • Careers
    • Feature
    • Today’s Pic
    • Opinion
    • Sci-Tech
    • About Us
    • Contact Us
    • Jobs

    © 2024 All rights Reserved by OrissaPOST

      • News in Odia
      • Orissa POST Epaper
      • Video
      • Home
      • Trending
      • Metro
      • State
      • Odisha Special
      • National
      • International
      • Sports
      • Business
      • Editorial
      • Entertainment
      • Horoscope
      • Careers
      • Feature
      • Today’s Pic
      • Opinion
      • Sci-Tech
      • About Us
      • Contact Us
      • Jobs

      © 2024 All rights Reserved by OrissaPOST