Interim Budget: Finance Minister Nirmala Sitharaman is expected to project India's fiscal deficit at 5.3% of GDP in the upcoming budget for FY25, despite poll pressure. The government will meet its FY24 commitment to reduce the fiscal deficit to 5.9%, BofA Securities said in a note.. This reduction will be achieved through a strategy of capital expenditure driven growth instead of expenditure compression, leveraging digitization-led formalization to improve tax buoyancy and reduce subsidy leakage. The revenue receipts are estimated to grow by 10.5%, with a 10% increase in tax revenue and a 14% jump in non-tax revenue. There will also be a modest increase in divestment proceeds.