However, its deficit has overshot targets, as the recent monetary and tax reforms weighed on immediate economic activity despite the expected medium-term benefits (ESCAR 2017b). Another reason for the wider deficit was the debt restructuring of State power distribution companies. The national budget deficit target for the 2018/19 fiscal year is 3.3 per cent of GDR lower than the estimated 3.5 per cent deficit in 2017/18, but higher than previously set targets (India, Ministry of Finance, 2018).