India economy to rebound from five-year low, 7% growth this year

India’s chief economic adviser said the government will keep its fiscal deficit under control as it sees a rebound in economic growth from a five-year low.

In a report ahead of Finance Minister Nirmala Sitharaman’s budget speech, the Finance Ministry said growth will probably reach 7% in the current fiscal year that began on April 1. The government will seek to avoid undermining private investment by widening the fiscal deficit, Krishnamurthy Subramanian, author of the Economic Survey report and chief economic adviser, told reporters Thursday.