India’s authorities have recently received plaudits for their efforts to clean up the banking sector. But news this week of a fraud scandal at the Punjab & Maharashtra Co-operative Bank (PMC Bank) is a stark reminder that more still needs to be done to ensure the banking sector’s long-term health. Meanwhile, the fiscal deficit in the first five months of FY19/20 provides little assurance about the government’s ability to meet the 3.3% target that it set in the union budget. We think that the finance ministry will eventually be forced to relax the target yet again.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services