India Juggles Growth, Budget Deficit as Global Risks Mount (2)

India’s finance minister unveiled a relatively cautious budget on Sunday, focusing on economic stability in the face of rising global risks.

Finance Minister Nirmala Sitharamanboosted spending on manufacturing and infrastructure projects while keeping the government’s fiscal deficit and debt under control. There were no big-bang announcements to spur the economy this time around, unlike in previous years when she cut taxes and eased restrictions for foreign investors.

Stocks slumped after Sitharaman hiked taxes on some equity transactions and announced the government would borrowmore than the market had expected in the coming fiscal year. Even so, analysts saw the ...