India’s fiscal deficit expanded to INR 15 tln in April-February 2023-24, accounting for 86.5% of this year’s forecast, compared to 82.8% during the same period last year. The government targets a fiscal year-end budget deficit of 5.8% of GDP. Meanwhile, Indian government bond yields declined to 7.07%, driven by high expectations for government securities (G-Secs) demand. This anticipation was reinforced after JPMorgan and Bloomberg Index Services incorporated G-Secs into their emerging market government and local currency bond indices.