Government unveils ?102trn national infrastructure funding plan. Fiscal deficit rises while current account deficit decreases.
GDP Under Construction: Yesterday, Finance Minister Nirmala Sitharaman launched the National Infrastructure Pipeline (NIP), unveiling projects worth ?102trn across 23 sectors and 18 states and Union Territories. These will be funded over the next five years by the central and state governments as well as private players.
39% of each project would be implemented by the centre, 39% by the states, and the remaining 22% by the private sector.
The projects identified by the NIP would included brownfield and greenfield undertakings. As per data, 43% (?42.7trn worth) of projects are under implementation while 33% are at a conceptualisation stage and 19% are under development. BS
Up and Down: The country's fiscal deficit through November stood at ?8.08trn ($113.2bn), which is 114.8% of the budgeted target for the current fiscal year. Net tax receipts in the April-November period was ?7.51trn, while total expenditure was ?18.20trn, government data showed.
At the same time, RBI data showed that the current account deficit (CAD) narrowed in the September quarter as the trade deficit shrank. CAD fell to 0.9% of GDP in Q2 from 2.9% in the same period a year ago and 2% of GDP.
"The contraction ... Was primarily on account of a lower trade deficit at $38.1 billion as compared with $50.0 billion a year ago," the RBI said in a press release. Livemint
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