India to breach fiscal deficit target in FY22: Fitch Solutions
It did not expect the government to significantly expand spending beyond what has been budgeted.
It did not expect the government to significantly expand spending beyond what has been budgeted.
From a technical perspective, the rupee is holding below its resistance level of Rs 72.50 to a dollar as well as trend resistance.
It forecast a 5 per cent year-on-year (y-o-y) growth in 2021 and 2022, as the outbreak is brought under control and the economic activity normalises.
This will be the case for palm oil imports that have been almost 40 per cent lower year-on-year over January-April.
The rating agency said a seeming reluctance for fiscal expansion by the central government amid the COVID-19 crisis in India also poses a significant downside risk to its 1.8 per cent growth forecast for 2020-21 fiscal.
