India must stick to fiscal consolidation in medium-term, says Gita Gopinath

India's consolidated deficit (the Centre and states combined) is the highest among G20 nations, she added. "So, it's not a free lunch and this has to be very carefully managed," she said

India must stick to the fiscal consolidation roadmap in the medium term, International Monetary Fund (IMF) chief economist Gita Gopinath said on Friday. This comes amid the rising debate on whether the government should go for fiscal expansion to perk up the economy.

Speaking at the 92nd annual convention of Ficci, Gopinath also said the IMF will revise India’s growth projections downwards in January. This is because high frequency indicators are not showing an uptick in the second half.

“For India, macro stability is very important as it means stability on the fiscal front. A clear sense of keeping to