Fiscal Policy

Budget 2020: Policy relaxations and incentives will whip up investors’ appetite, help govt fast-track to clock $5 trillion mark

The next proposal that may top FM’s Budget speech must be the disinvestment in strategic PSUs and outright privatization of loss-making PSUs.

RBI to hold rates until late this year on rising inflation concerns; fiscal boost likely: Report

While the RBI was the most aggressively dovish major central bank in Asia, slashing rates by a cumulative 135 basis points last year, it paused unexpectedly in December on inflation concerns

Indian economy likely to rebound in 2020 on measures taken by govt, RBI: CII

CII believes that with the sharp moderation in growth, the time has come to adopt an expansionary fiscal policy

RBI not done with easing; to cut interest rate again in October and early next year: Poll

The RBI cut rates by 35 basis points to 5.40% this week but maintained its “accommodative” policy stance, signalling further easing on concerns about weak economic growth and subdued inflation.

Budget 2019: Nirmala Sitharaman's promise to cut fiscal deficit to 3.3% of GDP is brave, but not realistic

Nirmala Sitharaman is promising to keep the fiscal deficit at 3.3% of GDP, lower than the 3.4% projected in the interim Budget presented by Piyush Goyal

Union Budget 2019: What is contractionary fiscal policy and how it influences level of activity in the economy

Contractionary fiscal policy involves increasing taxes or reducing spending when the economy is seeing high inflation or when prices shoot up due to supply constraints

Current economic global atmosphere 'a delicate moment', says IMF chief economist Gita Gopinath

Tensions in trade policy could flare up again and play out in other areas (such as the auto industry), with large disruptions to global supply chains, she cautioned.

Fiscal policy needs to be tightened at Centre, state-level in next financial year to avert growth drag

A step back from fiscal rectitude at this point will exaggerate the uncertainties around the fiscal outlook for the medium term.

IMF chief economist supports RBI; says government should heed central bank's message on financial stability

The IMF's chief economist Maurice Obstfeld said he does not want politicians "manipulating" central banks for political ends.

India fastest growing economy in Asia; on track to meet FY18 target of 7.3%, accelerate to 7.6% in FY19: ADB

Led by India, South Asia will continue to be the fastest growing economic area despite new trade tensions in Asia and Pacific region, Asian Development Bank (ADB) said in a new report today.