₹50,000 crore in divestments for FY25. Moreover, dividends to the government should remain strong (both RBI and PSUs). Subsidies are estimated to fall owing to fertiliser subsidies.
Telecom revenue will be half of FY24 levels – a big drag on non-tax revenues. Gross borrowing should decline to ₹15 lakh crore due to lower repayments. The brokerage's estimate for Net market borrowing stands at ₹11.4 lakh crore.
The fiscal deficit for FY24 is estimated to be lower than budgeted, at 5.82 percent vs. 5.92 percent BE, helped by direct tax buoyancy and expenditure management; non-tax revenue will likely surpass budgeted estimates due to higher dividends, it stated. It also expects disinvestment will fall short by a large margin, its estimate stands at ₹20,000 crore.
Meanwhile, Revenue expenditure is expected to meet the budgeted estimates as food and fertiliser subsidies will be marginally higher while incremental MNREGA allocations are being funded from savings, predicted Phillip Capital. Capex targets will be largely met, added the brokerage. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisionMilestone Alert!
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