- Snapshots of the monthly budget realisation data confirm slower spending in some areas, though higher spending on personnel and subsidy have helped support purchasing power early in the year.
- The government appears to have allocated more subsidy spending toward energy, indicating reduced support for non-energy programmes such as interest subsidies on MSME loans.
- Lower public support may discourage banks from maintaining their MSME loan portfolios, although mortgage loans in support of the government’s public housing agenda may not readily expand given the limited liquidity conditions.
