4 February 2026 Emerging Asia Monitor India's low-key budget a sign of the times, and generally welcome

India’s 2026/27 budget is the least restrictive we’ve seen in years, seeing a trivial deficit consolidation…
…to 4.3% of GDP; an achievable target in our view, given the natural capex ceiling and realistic tax goal.
The start of a new anchor—debt-to-GDP—will mean faster consolidation from 2027/28 though.

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