The fiscal consolidation framework mandates all state governments in India to keep their fiscal deficit-GDP ratio at 3.5 percent. The extra-borrowing powers (0.5 percent) of the states are linked to power sector restructuring. Kerala is not an exception to this rule. The fiscal deficit for 2023-24 is pegged dot …

(Co-authored with Balamuraly B.)

 

The Union Budget was presented against the backdrop of geopolitical risks and macroeconomic uncertainties of mounting global inflation. The fiscal arithmetic however is grounded on the path towards fiscal consolidation, pegging a fiscal deficit to 5.9 per cent in FY 23 and …

(Co-authored with Balamuraly B)

 

As states are doing the heavy lifting post-pandemic to enhance public investment, we do expect a hike in the capex transfers to the states in the upcoming Union budget

 

There is increasing recognition for state finances in the …

Fiscal consolidation through tax buoyancy rather than expenditure compression will be a relatively less painful path towards economic growth recovery, according to Lekha Chakraborty.

 

The Union government must keep the fiscal policy accommodative to support growth recovery amid an uncertain global situation and monetary tightening, …

(Co-authored with Emmanuel Thomas)

 

"Fiscal transparency and accountability need to be ensured to create room for market confidence in a high public debt regime. Constituting a Fiscal Council in India is therefore crucial at this juncture to analyse the fiscal risks and to formulate post-pandemic …