The FY 2012 Central Budget has not done anything dramatically. It provides incentives to increased infrastructure spending along with increased funding sources, highlights supply side issues in agriculture with an effort to provide solutions.
In the Union Budget for FY12, the government announced a reduction in the fiscal deficit to 4.6% of GDP from an estimated 5.1% in FY11, without any new tax revenue measures. However, it will be difficult for the deficit targets to be met given that it is based (more…)