This sentiment was echoed by Finance Secretary TV Somanathan in an interview. However, using the debt/GDP ratio as a basis for fiscal policy is problematic due to issues with GDP measurement.
Measurement Challenges In India, the reliability of GDP measurement is a significant concern. If GDP cannot be measured accurately, fiscal deficit targets based on the debt/GDP ratio may lead to misguided policy decisions. Projections involving the debt/GDP ratio are highly sensitive to assumptions about interest rates and GDP growth. If the government can borrow at lower rates, it has more room to add to its debt. However, this requires considering various interest rate scenarios and outlining a fiscal strategy accordingly. There’s also an incentive to keep interest rates low for smoother fiscal management.
Interest Payments vs. Revenue Receipts
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Denne historien er fra August 01, 2024-utgaven av The Business Guardian.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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LANDMARK VERDICTS BY CJI CHANDRACHUD
DY. Chandrachud, who served as the 50th Chief Justice of India, retired from his post on Friday. Here isa snapshot of some of the most significant verdicts that he delivered.
SBI's net profits soar 28% in July-September quarter
SBI's net interest income rose 5.37 per cent to Rs 41,620 crore in the September quarter. Both quarters combined, it grew 5.54 per cent to Rs 82,745 crore.
Scalene Coffee Research Organization develops COPTERS
Scalene Coffee Research Organization, a member of Organisation De Scalene Foundation, a global leader in sustainable technology innovations, announces the launch of COPTERS (Coffee Pulping Water Recovery System) Technology, a groundbreaking water recovery system developed to reduce water wastage in the coffee pulping process drastically by recovering almost 90% of pulped water.
HealthEdge expands employer presence in India
HealthEdge, a visionary leader in the healthcare technology industry, proudly announces the opening of its new office in Bangalore.
HIT SIGNS MOU WITH GLOBAL CYBER UNIVERSITY
Hindustan Institute of Technology and Science (HITS) has strengthened its international ties by signing a renewed and extended MoU with the Global Cyber University (GCU) of South Korea.
MANAGEMENT CHANGES BEFORE AIR INDIA-VISTARA MERGER'
A head of the Air India and Vistara merger scheduled on November 12, the Air India Group on Friday announced a number of management changes.
India will develop complete solar manufacturing ecosystem in 4-5 years
India will develop the complete ecosystem of solar equipment manufacturing in the next four to five years compared to other countries which have taken over 20 years says Vineet Mittal, Founder and Chairman of Avaada Group.
Same sex marriage not legal in India
LGBTQ COMMUNITY
Sabarimala Temple
On 28 September 2018, a 4:1 majority of the Supreme Court held that barring women of menstruating age from entering the Sabarimala temple was unconstitutional.
WHAT CJI SAID
Not every resource owned by an individual can be considered a material resource of a community only because it meets the qualifier of material needs.
