India's fiscal deficit for FY25 projected at 4.8% of GDP, aided by strong tax collections.

CareEdge Ratings projects India's fiscal deficit for FY25 at 4.8% of GDP, slightly below the budgeted 4.9%, due to strong GST and income tax collections. Despite reduced nominal GDP growth to 9.9%, real GDP growth is expected to remain at 6.5%. The report also anticipates mixed export performance but notes services exports will grow robustly at 13%, aiding a manageable current account deficit of 0.9% of GDP.

December 16, 2024
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