Page 2 - Latest Updates 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")
RBI's wider risk buffer range aimed at flexibility in times of uncertainty
RBI revises CRB range to 4.5-7.5% under updated ECF, giving it flexibility to manage surplus transfers and avoid large fiscal shocks in volatile conditions
 "RBI's wider risk buffer range aimed at flexibility in times of uncertainty")
RBI dividend may cut fiscal deficit to 4.2% of GDP in FY26: SBI report
SBI says higher-than-budgeted dividend from RBI gives government room to lower FY26 fiscal deficit to 4.2 per cent of GDP or increase spending in key areas, amid strong liquidity and BoP outlook
IMF's Gita Gopinath says US needs to curb fiscal deficit, fix debt burden
Gopinath's remarks follow Moody's downgrade of the US credit rating and highlight rising debt, tax cuts and persistent trade uncertainty under Trump
 "IMF's Gita Gopinath says US needs to curb fiscal deficit, fix debt burden")
India-Pakistan tensions could strain fiscal deficit if conflict escalates
Economists say India's fiscal deficit may widen if tensions with Pakistan persist, although the broader economic impact is expected to be limited if conflict remains contained
Defence spend amid Pak tensions may hit India's fiscal strength: Moody's
Moody's Ratings says India's economy remains resilient despite Pak tensions, but increased defence expenditure could weigh on fiscal strength and delay consolidation
 "Defence spend amid Pak tensions may hit India's fiscal strength: Moody's")
