Mid- year economic analysis confident of meeting this year’s fiscal deficit target, but hints at deferring fiscal deficit target dates The government on Friday lowered its forecast for gross domestic product ( GDP) growth to 7- 7.5 per cent in this fiscal year, down from an earlier forecast of 8.1- 8.5 per cent. Though it stuck to the fiscal deficit target of 3.9 per cent of the GDP for the year, Chief Economic Advisor Arvind Subramanian said at a press conference that the target of 3.5 per cent looks challenging for next year. The mid- year economic analysis tabled in Parliament struck a note of caution by saying there was a case for re- assessment of the medium- term fiscal consolidation road map because of the additional expenditure due to the recommendations of the Seventh Pay Commission and the higher pension payout for defence veterans next year. “If the government sticks to the path for fiscal consolidation, that would further detract from demand. On these assumptions, a