Air India has been privatised but government is dragging its feet on BPCL, SCI and other PSUs. There is much hard work ahead for the government if the current spurt in growth is to be sustained
This is the time of year when optimistic budget projections usually prove false, tax revenues fall short of expectations, austerity is decreed for government departments, government dues and capital spending are postponed for want of funds, and budgetary fudging of all sorts begins to try and keep the fiscal deficit close to the budget target. But not this year. Thanks to a booming economy, tax revenue has soared beyond all expectations and the fiscal deficit has plummeted.
The economy has recovered sharply from the traumatic April-June quarter, when Covid’s second wave caused lockdowns and shutdowns. At that time the budget projections looked far too optimistic. The RBI cut its GDP growth forecast for the year from 10.5% to 9.5%, and IMF reduced its forecast from 12.5% to 9.5%.
The economy has recovered sharply from the traumatic April-June quarter, when Covid’s second wave caused lockdowns and shutdowns. At that time the budget projections looked far too optimistic. The RBI cut its GDP growth forecast for the year from 10.5% to 9.5%, and IMF reduced its forecast from 12.5% to 9.5%.