You are here: Home » Budget » News
Business Standard

Budget 2021: Govt pegs FY21 fiscal deficit at 9.5% of GDP, says FM

Finance Minister Nirmala Sitharaman said on Monday the fiscal deficit for FY21 has been pegged at 9.5 per cent of the GDP and will come down to 6.8 per cent in FY22

Fiscal Deficit | Budget 2021 | Indian Economy

ANI  |  Business 

Nirmala Sitharaman
Nirmala Sitharaman

Finance Minister said on Monday the for FY21 has been pegged at 9.5 per cent of the GDP and will come down to 6.8 per cent in FY22.

The will reach below 4.5 per cent by FY26, she said while presenting the Union Budget 2021-22.

Sitharaman said while gross expenditure is seen at Rs 34.5 lakh crore, the capital expenditure is expected to be Rs 4.39 lakh crore in FY21.

The government will approach market for additional Rs 80,000 crore to fund the FY21 fiscal deficit, said the Finance Minister.

She said the FY22 gross expenditure is seen at Rs 34.83 lakh crore and capital expenditure at 5.54 lakh crore.

The market borrowing in FY22 is projected at Rs 12 lakh crore. The figures come amid coronavirus (Covid-19) pandemic which has led to massive economic disruption within and outside the country.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, February 01 2021. 13:15 IST