Budget 2024 | It's an interim budget, let's not get too excited about it, says Jahangir Aziz

“My guess is that they are going to target the 4.5% two years down the road. I am saying that it is going to be a 5.2% fiscal deficit target,” Aziz added.

Arvind Sanger, Managing Partner at Geosphere Capital Management, expressed the market's anticipation of minimal surprises in Budget 2024. He emphasized the importance of avoiding significant shocks, asserting that the market would prefer the government to maintain discipline on the current account deficit and fiscal deficit. Sanger emphasized that as long as there are no excessive expenditures on election-related sops, the budget is likely to be a non-event.

Sanger also commented on the recent development concerning Paytm Payments Bank, where the Reserve Bank of India (RBI) imposed restrictions on the onboarding of new customers. Aziz expressed concern over Paytm's response to the RBI's requirements, highlighting potential negative consequences for the company's stock. Sanger stated that the lackluster response to the RBI's directives could indeed impact the stock adversely.

As Budget 2024 approaches, the financial community remains watchful for any policy shifts and potential market implications. The caution expressed by experts regarding the Budget and the scrutiny on financial institutions like Paytm Payments Bank reflect the ongoing dynamics in India's economic landscape.