Fiscal deficit widens to 4.6% of GDP in FY20 on poor revenue realisation

The country's fiscal deficit widened to 4.6 per cent of the Gross Domestic Product in 2019-20 mainly on account of poor revenue realisation, according to official data.

The deficit, which signifies the gap between government revenue and expenditure, is higher than the revised estimate of 3.8 per cent for the fiscal.

According to the Controller General of Accounts (CGA) data, the fiscal deficit for 2019-20 worked out to be 4.59 per cent of the GDP, while the revenue deficit was 3.27 per cent.

The effective revenue deficit was 2.36 per cent, the data showed.