'Fiscal deficit to be 3.4% of GDP this year'

'Fiscal deficit to be 3.4% of GDP this year'

The Centre breached its fiscal deficit target for the second year in a row to settle at 3.4% in 2018-19, Finance Minister Piyush Goyal’s interim Budget showed Friday.

The government had set the target of 3.3% 0r Rs 6.24 lakh crore of fiscal deficit in the year that is concluding on March 31.

Last year, the fiscal deficit was at 3.5% of GDP.

Union Budget 2019 LIVE - Catch the latest updates here

Rating agencies and economists had cautioned the government against any breach of the fiscal deficit with Moody’s saying the breach would be to the tune of a percentage point.

However, the NDA government has to its credit bringing down the fiscal deficit from 4.1% in 2014-15 to 3.4% in 2018-19, which the economists said was remarkable.