look news india
Mumbai: If a BJP-led government is formed at the Centre, the government will continue to focus on capital expenditure along with fiscal discipline in the full budget of the current financial year.
An analyst said that as per the exit poll estimates, if the Modi government is formed, the full budget for the current financial year i.e. 2024-25 will provide fiscal discipline to attract foreign capital inflows, besides providing more capital expenditure to increase domestic investment.
In most exit polls released on Saturday, the BJP-led NDA has been projected to get more than 350 seats.
After the election related risks are over, the market will keep an eye on the full-time budget to be presented in July. An economist said that the Modi government will continue the policy of capital expenditure through reforms.
In the last financial year, the Central Government achieved 99 percent of its estimated capital expenditure target.
The country's economic growth rate in the last financial year has been better than expected and the Centre's balance sheet is in a strong position with high recovery through GST and dividend of more than Rs 2 lakh crore from the Reserve Bank, which will prove to be a boon for the new government.
The higher dividend received from the Reserve Bank will help the government in reducing its fiscal deficit.
