rediff.com

NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  

Rediff News  All News 
Rediff.com  » Business » Fiscal deficit will be contained at 4.6% of GDP: Chidambaram

Fiscal deficit will be contained at 4.6% of GDP: Chidambaram

February 17, 2014 11:57 IST

Fiscal deficit will be contained at 4.6% of GDP: Chidambaram

     Next

Next

The government on Monday said the fiscal deficit for the current financial year will be contained at 4.6 per cent of GDP.

"Let me begin with the good news. Fiscal deficit for 2013-14 will be contained at 4.6 per cent of GDP, well below the red line that I had drawn last year," Finance Minister P Chidambaram said in the interim budget presented in Parliament.

The fiscal deficit, which is the gap between expenditure and revenue, was 4.9 per cent of GDP in the previous financial year.

Interim Union Budget 2014-15: Complete Coverage

Click NEXT to read more…


Photographs: Reuters

     Next

Fiscal deficit will be contained at 4.6% of GDP: Chidambaram

Prev     Next
Prev

Next

After talking over as Finance Minister in August 2012, Chidambaram had drawn up a financial consolidation road map to lower the fiscal deficit to 4.8 per cent of GDP in 2013-14, 4.2 per cent in 2014-15 and 3.6 per cent in 2015-16.

He said the government's objectives included fiscal consolidation, reviving the growth cycle and enhancing manufacturing.

The minister had on several occasions said he had drawn a red line for the fiscal deficit and it would not be breached.

Interim Union Budget 2014-15: Complete Coverage

Click NEXT to read more…


Photographs: Reuters

Prev     Next

Fiscal deficit will be contained at 4.6% of GDP: Chidambaram

Prev     More
Prev

More

As per current indications, the fiscal deficit has come down mainly on account of expenditure compression and higher realisation from the 2G spectrum auction.

The Finance Minister also said GDP growth has improved and will be 4.9 per cent for the current financial year.

Interim Union Budget 2014-15: Complete Coverage

Economic growth had slowed to a decade's low of 4.5 per cent in 2012-13.


Photographs: Reuters

Prev     More
© Copyright 2014 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.