Check out India's 'roadmap for fiscal consolidation'

Fiscal deficit is now pegged to hit 5.3% of GDP.

According to BBVA Research, in a bid to contain India’s burgeoning fiscal deficit, the Indian finance minister today laid down a roadmap for fiscal consolidation.

Here's more from BBVA Research:

While the fiscal deficit for FY13 (year ending March 2013) is now targeted at 5.3% of GDP from a previously budgeted 5.1%, it is still well below consensus expectations of 5.8%. The deficit would thereafter be lowered to 4.8% (FY14), 4.2% (FY15), 3.6% (FY16) and 3.0% (FY17).

The government expects to achieve its target through a series of measures to boost revenue and rationalize expenses. Today’s announcement comes ahead of tomorrow’s RBI meeting, where we expect a 25bp cut in the repo rate and the cash reserve ratio to 7.75% and 4.25%, respectively.