FY21 fiscal deficit likely at 5.8%, growth to slip to 0.5% says report

After the government's move to raise its market borrowing programme for the current financial year by Rs 4.2 lakh crore, a foreign brokerage on Monday estimated the fiscal deficit to come at 5.8% of the GDP in FY21 as against the budget target of 3.5%. In a report, analysts at Bank of America also revised down their GDP growth estimate to 0.5% for the current fiscal year, as against the earlier estimate of 1.5%.