Daijiworld Media Network - New Delhi (SHP)
New Delhi, Oct 1: India is looking to borrow a gross amount of Rs 2.68 trillion (USD 37.82 billion) from the market between Oct and Mar. As per Economic Affairs Secretary Atanu Chakraborty, this amount will be generated through dated securities.
Reportedly, the government has already borrowed Rs 4.42 trillion during Apr-Sept period for the FY 2019-2020. In totality, the government was scheduled to borrow Rs 7.10 trillion for the FY 2019-20.
Currently, a fiscal deficit of 3 per cent is set for the FY 2019-2020. However, economic analysts have believed that due to the corporate tax reduction announced earlier, a revenue loss of Rs 1.45 trillion can be anticipated. Therefore resulting in accumulation of poorer tax revenue.
Interdependent to one another, a higher deficit will thereby result in borrowing more than expected.