Budget 2018: Crimps on non-tax revenues, says chief economist Devendra Pant

Dividend/surplus of the RBI, PSBs and financial institutions is budgeted at Rs 548.17 billion in FY19

The Budget pegs FY19 fiscal deficit at 3.3 per cent of GDP. At the core of this, nominal GDP growth would be 11.5 per cent. Tax revenue receipts growth of 14.63 per cent looks plausible. In FY18, lower non-tax revenue from dividends and profits was responsible for 74.5 per cent slippage in the fiscal deficit.

Aggregate non-tax revenue is budgeted to grow 3.86 per cent in FY19 against a contraction of 13.51 per cent in FY18. The share of dividend and profits (Rs 1,073.12 billion) has been budgeted at 43.78 per cent and receipts from economic services at 36.55 per cent