Fiscal Management to Boost Corporate Investment
The government's strategic fiscal management is expected to lower the yields on government securities, potentially stimulating more corporate investments in the economy. Borrowing estimates for FY26 have been reduced amid improved tax collection, with fiscal deficit targets and a new debt-GDP reduction roadmap outlined.

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- India
The government's strategic approach to fiscal management is poised to ease the yields on government securities, potentially freeing up more funds for corporate investments. This announcement was made by Ajay Seth, Secretary of the Department of Economic Affairs.
In a statement, Seth emphasized a reduction in borrowing for the fiscal year 2026 compared to the current year, signaling increased market availability for private sector activities. Additionally, the net borrowing estimate for the next financial year has been reduced to Rs 11.54 lakh crore due to an expected rise in tax collections.
New fiscal policies aim to lower the fiscal deficit and reduce the debt-to-GDP ratio, with borrowed funds set to meet fiscal deficit targets. The government is also focusing on a robust roadmap to bring down the debt-GDP ratio from 57.1% to around 50% by March 2031.
(With inputs from agencies.)