Fitch Group Arm Projects Fiscal Deficit To Slip To 3.6% In 2019-20

Fitch Solutions, the research arm of Fitch Group, projected the government’s fiscal deficit to overshoot the budgeted target by 0.2% to 3.6% of GDP in 2019-20 fiscal. It stated that 2019-20 Budget appears to show a strong populist bent in the run-up to the General election due by May 2019.

Accordingly, Fitch Solutions revised its forecast for the central government fiscal deficit to come in at 3.6% of GDP in FY 2019-20, from 3% previously, which reflects our expectation for a wider fiscal deficit in FY 2019-20 versus FY2018-19.

Source- The Moneycontrol

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