The Finance Ministry, on Tuesday, said it was not worried about the threat of ratings downgrade by global agencies such as Fitch as it was moving on the right track and would restrict the fiscal deficit to 5.3 per cent of the GDP in 2012-13.

On right track

“We are not worried. We have been saying we are on right track. But people still distrust us and ask whether we will able to achieve fiscal deficit target... We will adhere to fiscal consolidation roadmap,” Department of Economic Affairs (DEA) Secretary Arvind Mayaram told PTI, when asked about the threat of rating agencies like Fitch to downgrade the country’s rating.

The government had taken a number of steps to restrict the fiscal deficit to 5.3 per cent of the GDP during the financial year, he said, adding that the process would continue in the subsequent years as well.

In view of rising expenditure and subdued growth in revenue collections, the Finance Ministry had already raised the fiscal deficit target to a more acceptable level of 5.3 per cent of the GDP, as against 5.1 per cent estimated earlier.