The state finance secretary Subhash Chandra Garg spoke to Mint about the Union Budget and its different provisions including the government’s decision to implement Minimum support price for agricultural items and the national health scheme.
Taking into cognizance the target of fiscal deficit target Garg said,”The fiscal deficit target of 3.3% of GDP is quite realistic.
Whereas on the effects of raising MSP on agriculture crops and National health scheme’s impact on fiscal deficit he informed that Only for these two additional liabilities funds have not been provided.
“They might have certain implications but we can’t work out the exact details. Both the MSP hike and the new health scheme may have an impact of Rs10,000-15,000 crore next fiscal. This we can provide for.” he added.
Meanwhile, when he was asked about which one of the two will be a larger part of the fiscal deficit he said, “Let’s see. These details hardly matter, what matters is the total fiscal impact.”