Page 2 - Latest Updates on Fiscal Deficit
Centre may meet FY26 fiscal deficit target despite GST overhaul: Fitch
Separately, Bank of Baroda in a report said the impact of GST reforms will be minimal as it accounts for Rs 48,000 crore or only around 0.1-0.2 per cent of the GDP
 "Centre may meet FY26 fiscal deficit target despite GST overhaul: Fitch")
India's reforms give cushion against global uncertainty: CEA Nageswaran
Chief Economic Advisor V Anantha Nageswaran said GST overhaul and structural reforms will strengthen India's resilience to global risks and help meet the fiscal deficit target
 "India's reforms give cushion against global uncertainty: CEA Nageswaran")
Moderate impact of GST cuts on fiscal deficit; inflation may lower 50-90bps
Besides, a cut in the tax rate on nearly one-fourth of the essential and household items contained in inflation basket may lead to a moderation of 50-90 bps in retail inflation over next 12 months
 "Moderate impact of GST cuts on fiscal deficit; inflation may lower 50-90bps")
New GST rates: Govt bonds rally as revenue loss concerns subside
Government bonds rallied as the estimated revenue loss from GST tax cuts came in lower than expected, easing fiscal concerns. The yield on the benchmark 10-year bond eased to 6.49%
 "New GST rates: Govt bonds rally as revenue loss concerns subside")
GST rate cut may ease CPI inflation by 25bps; 40bps dent on fiscal deficit
Here's how analysts leading brokerages assess the impact of the GST rate rejig on the Indian economy, bond markets and the possibility of an aggressive interest rate cut by the Reserve Bank of India
 "GST rate cut may ease CPI inflation by 25bps; 40bps dent on fiscal deficit")
Revenue deficit, capital spends: Key takeaways from 15th finance commission
The 15th FC had recommended a sizeable Rs. 2.9 trillion as revenue deficit grants (RDG) to a select number of states for FY2022-FY2026
 "Revenue deficit, capital spends: Key takeaways from 15th finance commission")
On track to achieve fiscal deficit target of 4.4% for FY26: DEA Secy Thakur
The Centre estimates the fiscal deficit during 2025-26 at 4.4 per cent of the GDP, or Rs 15.69 trillion
 "On track to achieve fiscal deficit target of 4.4% for FY26: DEA Secy Thakur")
Fiscal deficit at 29.9% of budget estimates in April-July FY26: CGA data
April-July data shows rising capex and RBI dividend boost, but tax revenue contraction widened India's fiscal deficit
Govt confident of meeting fiscal deficit target despite planned tax cuts
In the biggest tax overhaul since 2017, PM Modi on Saturday announced sweeping changes to the complex goods and services tax (GST) regime which will make daily essentials and electronics cheaper
 "Govt confident of meeting fiscal deficit target despite planned tax cuts")
Bond market sees best day in 2 months after S&P upgrades India's rating
S&P raises India's sovereign rating to BBB from BBB-, the first upgrade since 2007, citing fiscal discipline and infrastructure push, triggering a G-sec rally
 "Bond market sees best day in 2 months after S&P upgrades India's rating")
India may miss FY26 fiscal deficit target of 4.4% on slower growth: BMI
BMI projects India's fiscal deficit to narrow to 4.5% of GDP in FY26, citing slower growth, tariff risks, and higher state spending as challenges to fiscal consolidation
 "India may miss FY26 fiscal deficit target of 4.4% on slower growth: BMI")
States must fix their own economies, address deeper structural cracks
The data suggests that of all states and Union Territories, 12 had their debt-to-GSDP ratio higher than 35 per cent in 2023-24, while around 24 had their debt above 20 per cent
 "States must fix their own economies, address deeper structural cracks")
India in Flux offers up new ways to think about complex challenges ahead
Few could have played the role Shankar Acharya did-navigating political, fiscal, and global pressures with clarity and conviction
 "India in Flux offers up new ways to think about complex challenges ahead")
Fiscal deficit hits 17.9% of full-year target in Q1FY26: CGA data
In absolute terms, the fiscal deficit, or gap between the government's expenditure and revenue, was Rs 2,80,732 crore in the April-June period of the 2025-26 fiscal year
'Govt does not foresee revenue shortfall, aims to achieve deficit target'
As per the Budget, the Centre has estimated the fiscal deficit for 2025-26 at 4.4 per cent of GDP, amounting to Rs 15.69 lakh crore
 "'Govt does not foresee revenue shortfall, aims to achieve deficit target'")
Fiscal deficit slips to 0.8% of full-year target at May-end 2025: CGA data
The fiscal deficit, or gap between the government's expenditure and revenue, had touched 11.9 per cent of the Budget Estimates (BE) for 2025-26 or Rs 1.86 trillion in April
 "Fiscal deficit slips to 0.8% of full-year target at May-end 2025: CGA data")
Moody's review meet with govt to focus on global trade, Indo-Pak conflict
Moody's will meet Indian officials on Thursday in Delhi for its semi-annual review of India's sovereign rating amid rising geopolitical tension and trade disruption
 "Moody's review meet with govt to focus on global trade, Indo-Pak conflict")
Datanomics: Govt betters fiscal deficit target despite lower tax receipts
The credit goes to higher GDP in nominal terms than considered by the Budget
Govt outperforms on fiscal deficit, brings it down to 4.77% of GDP in FY25
Capital expenditure for FY 2024-2025 at Rs 10.5 trillion stood at 103.3 per cent of the revised estimate for the year, CGA data showed
 "Govt outperforms on fiscal deficit, brings it down to 4.77% of GDP in FY25")
Govt achieves fiscal deficit target of 4.8% for FY25, shows data
The economic growth in nominal terms for the fiscal 2024-25 is estimated at Rs 3,30,68,145 crore, according to the GDP data released earlier in the day
 "Govt achieves fiscal deficit target of 4.8% for FY25, shows data")
