Thursday, 1 February 2018

Budget 2018 To Test Investors' Faith In PM Modi's Government


Since his election four years ago, Indian markets have welcomed Prime Minister Narendra Modi's campaign to mend patchy public finances and develop new areas of growth in Asia's third largest economy.

To keep investors' confidence, however, Modi's government will need to be seen containing the fiscal deficit, while also increasing spending in key areas of the slowing economy.

Markets will be focused on how much India widens its fiscal deficit beyond the 3 percent of gross domestic product projected for 2018/19.

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