MPC's 11.7% nominal GDP growth projection way higher than Budget estimate

If MPC's projections hold good, various figures in the Budget would change when the revised estimates are worked out

The government appears to be far more conservative than the monetary policy committee (MPC) of the Reserve Bank of India (RBI) in its projection of nominal economic growth for 2023-24, on the basis of which major figures such as taxes and fiscal deficit are estimated in the Budget.

The MPC, at its meeting that concluded on Wednesday, pegged the nominal GDP growth rate at 11.7 per cent for the year. Though RBI’s panel did not give nominal GDP growth, it pegged real economic growth at 6.4 per cent and retail price inflation at 5.3 per cent.

On the other hand,