Page 13 - Latest Updates on Fiscal Deficit
Handling the dollar deluge
Diverging fiscal responses to the crisis can create serious macroeconomic challenges for countries globally
 "Handling the dollar deluge")
Share of external financing of fiscal deficit soars to 4.5% in Q1: Report
The government has run 83 per cent of its borrowing target as of June, according to official numbers released on July 31, due to the impact of the pandemic that crippled the economy
 "Share of external financing of fiscal deficit soars to 4.5% in Q1: Report")
Has the fiscal deficit reached 83% of FY21 target in Q1 itself? Not really
The figures we should consider to calculate fiscal deficit should be the enhanced borrowing level announced in May, rather than the one announced in February
 "Has the fiscal deficit reached 83% of FY21 target in Q1 itself? Not really")
Fiscal deficit at 83.2% of budget estimates in Q1 on poor tax collection
Fiscal deficit during the corresponding period of last year was 61.4 per cent of the budget estimates
 "Fiscal deficit at 83.2% of budget estimates in Q1 on poor tax collection")
Bridging the gap
Govt should monetise assets to sustain expenditure
 "Bridging the gap")
Fiscal deficit to shoot up to 7.6% in FY21; twice budget estimate: Ind-Ra
Ind-Ra said India's gross domestic product (GDP) will contract by 5.3 per cent, while states like Assam, Goa, Gujarat and Sikkim are expected to witness a double-digit contraction
 "Fiscal deficit to shoot up to 7.6% in FY21; twice budget estimate: Ind-Ra")
States' mkt borrowings jump 76% to Rs 1.93 trn so far this fiscal: Report
In addition, the Centre has also relaxed the fiscal deficit target from 3 to 5 per cent.
 "States' mkt borrowings jump 76% to Rs 1.93 trn so far this fiscal: Report")
Global public debt, fiscal deficits to reach all-time high in FY21: IMF
The steep contraction in output and ensuing fall in revenues along with a sizeable discretionary support have led to a surge in the government debt and deficits
 "Global public debt, fiscal deficits to reach all-time high in FY21: IMF")
MARKET WRAP: Sensex gains 499 pts as financials rally, Nifty ends at 10,430
All that happened in the markets today
 "MARKET WRAP: Sensex gains 499 pts as financials rally, Nifty ends at 10,430")
April-May fiscal deficit at 58.6% of fiscal year target as revenue slumps
Total revenue was Rs 45,498 crore, or 2 per cent of the budgeted estimate of Rs 22.46 trillion, compared to 7.1 per cent for the same period last year.
 "April-May fiscal deficit at 58.6% of fiscal year target as revenue slumps")
More fiscal disturbance to be expected as the lockdowns are extended
Govt accounts for first two months of the year show tax revenue at Rs 1.26 trillion compared with Rs 2.14 trillion last year. There has been a sharp decline in GST collections of Rs 57,000 cr
 "More fiscal disturbance to be expected as the lockdowns are extended")
Top headlines: Fiscal deficit at 58.6% of annual target in 2 months & more
Business Standard brings you the top headlines of the day
 "Top headlines: Fiscal deficit at 58.6% of annual target in 2 months & more")
India's fiscal deficit at Rs 4.66 trn, 58.6% of annual target in 2 months
Net tax receipts during April-May period were Rs 33,850 cr, while total expenditure was Rs 5.12 trillion
Top headlines: RBI's one-time recast plan, monetising fiscal deficit
From the possibility of RBI's one-time recast plan to be limited, RBI likely to monetise fiscal deficit in second-half of FY21, a glance at GST's completion of 3 years tomorrow, here are the top news
 "Top headlines: RBI's one-time recast plan, monetising fiscal deficit")
Govt may get RBI to monetise fiscal deficit in second half of FY21
A final decision on the matter will be taken before the borrowing calendar for October 2020-March 2021 is announced in late-September
 "Govt may get RBI to monetise fiscal deficit in second half of FY21")
Which economic stimulus works?
Much of the money that households and businesses receive in the form of stimulus checks will probably sit idle in their bank accounts
Monetising fiscal deficit via secondary OMOs right way: Uday Kotak
If we keep subsidising or protecting businesses that are not able to compete, we have an issue. I would expect the market to be able to sort things out, says Uday Kotak
 "Monetising fiscal deficit via secondary OMOs right way: Uday Kotak")
Best of BS Opinion: Govt's limited fiscal cushion, doing-business concerns
From why this year's budgeted net tax revenue for the Centre is impossible to achieve to how Indians are blase about class-driven brutality, here's a selection of Business Standard Opinion pieces
 "Best of BS Opinion: Govt's limited fiscal cushion, doing-business concerns")
'No doubt' on GDP contraction in Q1: CEA Krishnamurthy Subramanian
Subramanian also said that the Centre had gone beyond its means to support states, was keeping its options open regarding deficit monetisation, and that the new privatisation policy would be out soon
 "'No doubt' on GDP contraction in Q1: CEA Krishnamurthy Subramanian")
CEA Krishnamurthy Subramanian sees FY21 fiscal deficit at over 5%
No doubt that economy will contract in Q1, Krishnamurthy Subramanian says
 "CEA Krishnamurthy Subramanian sees FY21 fiscal deficit at over 5%")
