TN fiscal deficit to be 2.9% of GSDP

CHENNAI: State Finance Minister O Panneerselvam on Thursday presented his maiden budget and said that the fiscal deficit would be 2.90 per cent of Gross State Domestic Product (GSDP).   “We will be on track to achieve the fiscal consolidation target by eliminating the revenue deficit and restricting the fiscal deficit to below three per cent of GSDP,” the minister said.According to the Medium Term Fiscal Plan (MTFP)presented along with the revised budget, the outstanding debt of the government, including liabilities like the Provident Fund that was `1,01,349.45 crore on March 31, this year is estimated to go up to `1,18,801.75 crore on March 31, next year.Since the Revised Budget Estimates have projected revenue surplus, the new borrowings would be fully utilised towards productive expenditure on capital account.