India's fiscal deficit target a comfort for central bank: governor | Reuters

Indias fiscal deficit target a comfort for central bank: governor
| Reuters

NEW DELHI India's headline fiscal deficit target for the next fiscal year is a comfort for the country's central bank, Reserve Bank of India Governor Raghuram Rajan said on Saturday, amid hopes of a policy rate cut.

Finance Minister Arun Jaitley committed to fiscal discipline in his Feb. 29 budget, lowering the deficit target further to 3.5 percent of gross domestic product in the fiscal year that starts next month, surprising investors.

Rajan told reporters the central bank's board gave substantial compliments to the finance minister for budget and fiscal discipline. He said the country was broadly moving in the direction of boosting growth.

(Reporting by Sumeet Chatterjee; Editing by Robert Birsel)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Firstpost is now on WhatsApp. For the latest analysis, commentary and news updates, sign up for our WhatsApp services. Just go to Firstpost.com/Whatsapp and hit the Subscribe button.

Updated Date: Mar 12, 2016 08:25:39 IST

Also See