Fiscal deficit was 4% of GDP in FY15, says FinMin

The revenue deficit would be 2.8% of GDP in 2014-15, against the revised estimate and earlier Budget estimate of 2.9%

The central government's fiscal deficit for 2014-15 was four per cent of gross domestic product (GDP), according to provisional figures released by the finance ministry on Sunday.

The revised estimate presented in late February had put it at 4.1 per cent. The Centre had to resort to more cuts in plan expenditure to rein in fiscal deficit. The revenue deficit would be 2.8 per cent of GDP in 2014-15, against the revised estimate (RE) and earlier Budget estimate of 2.9 per cent.

Final data on the central government accounts for 2014-15 would be issued by this month-end, which would modify the RE for the year, issued at end-February when this year's Budget was presented. The finance ministry on Sunday issued its provisional estimates of these RE revisions. These are based on the anticipated adjustments from various ministries and revenue figures of the year.

The controller general of accounts will give the final figures of the fiscal accounts and there would be a slight change in those, compared to what was given on Sunday.

According to these latter figures, the Centre's fiscal deficit finally would be Rs 501,880 crore, about 98 per cent of the Rs 512,628 crore RE for 2014-15. The revenue deficit would be Rs 358,306 crore, about 99 per cent of the Rs 362,486 crore RE for 2014-15.

"The government is firmly committed to the path of fiscal consolidation and this is a step forward," the ministry said.

Gross tax collections at Rs 12,45,037 crore showed growth of nine per cent as compared to 2013-14. Devolution of tax collections to states at the end of 2014-15 was Rs 3,37,808 crore. This implied net collections were Rs 9,07,229 crore, slightly lower than the Rs 9,08,463 crore in the RE. Non-tax revenue was Rs 196,959 crore, about 90 per cent of the RE at Rs 217,831 crore. Non-debt capital receipts, which includes disinvestment, was Rs 43,439 crore or 103 per cent of the RE.

Plan expenditure at the end of 2014-15 was Rs 435,621 crore, around Rs 32,000 crore lower than the RE at Rs 467,934 crore. The RE was already lower than the BE by a little over Rs 1 lakh crore.

Non-plan expenditure was Rs 11,91,140 crore or 99.8 per cent of the RE at Rs 12,13,224 crore.