Mahendra Jajoo, in an interview with ET Now, explained that GST rate cuts may lead to some revenue loss, but the overall fiscal impact is expected to remain limited. He highlighted that robust GST collections, a higher-than-budgeted RBI dividend, and strong PSU dividends are cushioning the gap. According to him, the effect on the fiscal deficit would be just 0.2%–0.06% for this year.
Strong macros, low inflation to anchor yields, says Mahendra Jajoo – GST Rationalisation & Fiscal Impact
