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In her interim budget 2024-25 speech Finance Minister Nirmala Sitharaman announced that the centre would reduce its fiscal deficit to 5.1% of GDP in 2024-25.
Positive Aspect of Fiscal Deficit |
Negative Aspect of Fiscal Deficit |
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Legislation Related to Fiscal Management in India
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Fiscal consolidation measures can involve tough policy choices and may have short-term economic costs including reduced public spending but it underscores the importance of structural reforms to enhance productivity and competitiveness.
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News Source: The Hindu
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