New Delhi, Feb. 4 -- India's fiscal and monetary policies are now focusing more on supporting economic growth, aligning with expectations of a cyclical recovery, according to a report by Morgan Stanley.

The report highlighted that the Union Budget has maintained the path of fiscal consolidation, though at a slightly faster pace than anticipated.

It noted that despite the accelerated fiscal consolidation, the Budget includes measures that encourage consumption and increase capital expenditure, which should help drive economic growth.

The report stated, "In our view, both fiscal and monetary policy are pivoting to support growth, which is in line with our view of a cyclical recovery in growth."

The government's approach aims to strike a...