Fiscal Deficit

Fiscal deficit in April-December kept at 54.5% of Budget Estimates

India contained its FY26 fiscal deficit at 54.5% of Budget Estimates for April-December, aided by higher non-tax revenues and controlled spending despite a December capex dip

Budget 2026 may focus on managing debt-to-GDP ratio over fiscal deficit

The upcoming Budget is going to put emphasis on easing the debt-to-GDP ratio, which is around 56 per cent, instead of targetting a specific fiscal deficit number as the country has almost reached the end of the glide path envisaged in the FRBM legislation. A fiscal deficit of 3-4 per cent is considered comfortable and a desirable target for a growing, developing economy like India, aiming to balance economic expansion with financial stability. Under the revised Fiscal Responsibility and Budget Management (FRBM) Act, the fiscal deficit target was below 4.5 per cent of GDP for 2025-26. Therefore, the union government announced a new glide path with the debt-to-GDP ratio as the fiscal anchor. So, the roadmap for the next six years was announced in the FRBM statement released on February 1, 2025. Finance Minister Nirmala Sitharaman, in her Budget speech in July 2024, had said, "The fiscal consolidation path announced by me in 2021 has served our economy very well, and we aim to reach

Budget 2026: Too many known unknowns amid push to revive private capex

Amid data and fiscal uncertainties, the govt faces the difficult task of creating conditions to boost private capex

Eco Survey highlights: Domestic demand in focus amid global uncertainties

India's economy is expected to grow 6.8-7.2% in 2026-27; exports, domestic demand and reforms support growth, while global trade tensions pose some risks

Economic Survey pegs India's real GDP growth at 6.8-7.2 per cent in FY27

India's economy is expected to grow 6.8-7.2% in 2026-27; exports, domestic demand and reforms support growth, while global trade tensions pose some risks

Budget 2026: SBI Research sees fiscal deficit at 4.2% amid global risks

SBI Research expects Budget 2026 to focus on fiscal discipline, managing rising debt, steady borrowing and higher capital spending amid global uncertainty and volatile markets

This Budget will see many firsts, but future Budgets need a different mould

Budget 2026-27 breaks new ground, but delayed GDP rebasing and continued fiscal secrecy risk undermining its numbers within weeks

What the Budget must present in a tough global and job environment

As the Union Budget nears, the focus must shift to debt, deficits, and borrowing from household savings, and how these choices affect private investment, manufacturing growth, and jobs

States' gross fiscal deficit topped 3% in FY25 after 3 years: RBI report

States' fiscal deficit crosses 3% of GDP in FY24 after 3 years; capital spending rises as liabilities remain manageable, says RBI report

Can the Union Budget 2026-27 unveil a low debt-deficit path to growth?

The forthcoming Budget could think of maintaining public capital expenditure at 3% so that domestic resources are available for private investments

Disinvestment revival will be useful in sustaining capital expenditure

It is encouraging that the government's dependence on disinvestment receipts in managing its finances has reduced, but the instrument should not be discarded

India's state finances face headwinds in FY26, says CareEdge report

The report suggests that growth in aggregate revenue receipts slowed to 7.2 per cent year-on-year during April-November 2025

Indian economy faces five headwinds that leave no margin for error

Markets look calm, but five forces-rising debt, slowing revenues, weak savings, geopolitics and populism-signal a tougher growth phase for India

Govt to meet fiscal deficit target of 4.4% in FY26, may even better it: PwC

The government is likely to achieve the fiscal deficit target of 4.4 per cent of the GDP in FY26, and it could even better it, a positive signal to global investors about India's commitment to fiscal management, PwC Partner and Economic Advisory Services leader Ranen Banerjee said. The revision in the nominal GDP growth target from 10.1 per cent to 8 per cent by the National Statistical Office recently raised concerns about the government's ability to meet the fiscal deficit target. Although the nominal GDP growth rate has been revised downward to 8 per cent from 10.1 per cent, the absolute numbers are almost matching the budget estimates, he said, adding that this means the denominator is not shrinking and the government should easily meet the 4.4 per cent fiscal deficit target. It is to be noted that the government overachieved its fiscal deficit target of 4.8 per cent against 4.9 per cent of GDP pegged for FY25. "It has a headroom to actually better it. We believe that optically

Pre-Budget meet: States push for equitable funds, higher deficit limits

Chief Minister Pramod Sawant has sought a more equitable Centre-state funding pattern under centrally sponsored schemes, taking into account Goa's coastal challenges, Western Ghats ecology, and national tourism responsibilities. Sawant attended the pre-budget Meeting for the Union Budget 2026-27, chaired by Union Finance Minister Nirmala Sitharaman, in New Delhi on Saturday. Finance ministers of various states and Union Territories and other senior officials participated in the meeting. Later, Sawant, in a statement, said the meeting involved detailed deliberations on key provisions and priorities for the upcoming Union Budget. "Goa's perspectives, demands, and developmental requirements were presented, with a focus on sustaining momentum in critical infrastructure projects," he said. The CM said Goa also sought to strengthen social welfare schemes, ensuring continued support for capital investment, carrying forward state-specific Finance Commission recommendations, and seeking a .

FY27 fiscal deficit likely to overshoot target to touch 4.6%: BMI

BMI said fresh spending needs and lower tax receipts could push the deficit higher even if the government sets a 4.3 per cent fiscal deficit target in the 2026-27 Budget

Datanomics: Lower tax buoyancy, not GDP, weighs on Centre's finances

Slower nominal GDP growth in FY26 may not hurt deficit math, but weak tax buoyancy and a slipping tax-to-GDP ratio signal rising stress on revenue collections

Fiscal deficit target in reach despite lower nominal GDP growth estimate

The Budget estimates for this year had assumed a nominal GDP growth of 10.1 per cent

Centre's fiscal deficit at 62.3% of FY26 BE in April-November; capex up 28%

CGA data showed the Centre's fiscal deficit rose to Rs 9.77 trillion, or 62.3 per cent of FY26 Budget estimates, in April-November as capex surged and net tax revenue slipped

Expect our state's share in tax devolution to rise to 20%: UP FM Khanna

UP's finance minister Suresh Khanna says disciplined spending, revenue surpluses and rising capex have helped India's most populous state maintain fiscal stability while expanding infrastructure