Improving conditions

Govt must present a revised fiscal glide path

The allocation of key portfolios in the third Narendra Modi government indicates continuity in policy. This should give confidence to financial markets, which became a bit jittery after the election results. However, while broad continuity will help boost confidence in the short run, policy needs to evolve with changing circumstances. In this context, Union Finance Minister Nirmala Sitharaman would be expected to build on the foundations of recent years. Her previous term was perhaps the most difficult that a finance minister has faced in recent memory, largely because of the pandemic-related shocks. Even though India managed a strong recovery from