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India to forecast stronger growth next year while sticking to fiscal deficit goals, sources say

India plans to project higher economic growth for the next fiscal year, two government officials with direct knowledge of the matter said, adding that fiscal deficit goals are being met and kept.
The article from Reuters discusses India's economic outlook for the fiscal year 2024-25, where the government is expected to forecast a stronger growth rate while maintaining its fiscal deficit targets. India's Finance Minister Nirmala Sitharaman is set to present the interim budget on February 1, 2025, with expectations of a GDP growth projection around 6.5% for the next fiscal year, slightly higher than the current year's estimate. Despite global economic challenges, India aims to keep its fiscal deficit at 5.9% of GDP for the current year, with plans to reduce it to 5.3% in the upcoming fiscal year. This strategy reflects a balance between stimulating economic growth and adhering to fiscal consolidation, amidst pressures from high commodity prices and geopolitical tensions. The government's approach includes boosting capital expenditure to spur investment and job creation, while also focusing on infrastructure development and welfare programs.

Read the Full Reuters Article at:
[ https://www.reuters.com/world/india/india-forecast-stronger-growth-next-year-while-sticking-fiscal-deficit-goals-2025-01-14/ ]