Page 15 - Fiscal Deficit

States' indicative borrowing for fourth quarter higher than forecast

The government transferred the amount to states as tax devolution for financing various social welfare measures and infrastructure development schemes

Fiscal deficit contained at 50.7% of FY24 budget estimate in Apr-Nov

The Government, CGA data indicates, is moving towards fiscal consolidation, with improved tax collections compared to the April-October period and compressed capital expenditure

Fiscal deficit for Apr-Nov narrows to 50.7% at Rs 9.07 trillion: Govt

Earlier this month, finance minister for state Bhagwat Karad said that the Centre was confident of meeting the fiscal deficit target of 5.9% in FY24

High indebted Punjab, Himachal may breach BE of fiscal deficit in FY24

Punjab had over 40% debt as a proportion of GSDP in 2019-20 too, while Himachal Pradesh had 39.1%

HP fiscal deficit may rise to be 5.82 pc of SGDP due to higher liabilities

Fiscal deficit of Himachal Pradesh is expected at 5.82 per cent of the Gross State Domestic Product (GSDP), higher than projected deficit of 4.61 per cent in 2023-24 due to a rise in liabilities such as salary, pension, interest payment and social security. The tax revenue is likely to decrease by Rs 752.33 crore and the revenue deficit would be Rs 1,368.81 crore, more than anticipated, as per the Fiscal Responsibility and Budget Management (FRMB) report tabled in the house by Chief Minister Sukhvinder Singh Sukhu on Saturday. Further, the expenditure on pension is likely to be increased by Rs 621.22 crore from Rs 8,693 crore to Rs 9,315 crore , primary deficit would increase from Rs 4,338.13 crore to Rs 6,953.72 crore. The government has assured to bring down the deficit by curtailing expenditure and resource mobilisation. The total committed liability of the government are projected to increase from Rs 29,88,177 crore in 2023-24 to Rs 32,34,477 in 2024-25, Rs 34,75,859 crore in .

RBI to conduct VRR auction again as liquidity deficit widens to Rs 2.3 trn

Market speculation suggested a total of around Rs 4 trillion worth of outflows because of advanced tax and GST payments in December

Positive outlook

High public debt remains a risk

Gross fiscal deficit of Centre, states stays under 7% of GDP: RBI article

Lower disinvestment receipts are likely to be offset by sharp gains in non-tax revenues, mainly attributable to higher dividends from the Reserve Bank and other financial institutions

Centre says likely to achieve fiscal deficit target of 5.9% of GDP in FY24

India's fiscal deficit in the first seven months of the financial year ending on March 31, 2024 was 8.04 trillion Indian rupees ($96.86 billion), or 45% of the estimate for the whole year

Augmenting fiscal capabilities

Quality of expenditure should sway fiscal transfers

RBI cautions states with over 4% fiscal deficit, urges tax reforms

Says returning to OPS would put substantial burden on finances

Govt limits additional spending to Rs 58,378 crore, eyes fiscal prudence

The government has set a fiscal deficit target of 5.9 per cent of GDP for FY24

Nine states, 2 UTs see rising fiscal deficits post-pandemic: PHDCCI report

"States are classified as resilient if their fiscal deficit as a percentage of GSDP has decreased from the pre-pandemic to the post-pandemic period," the report says

India's fiscal deficit between Apr-Oct 45% of FY24 target of Rs 17.87 trn

Between April and October this year, the fiscal deficit was recorded at Rs 8.04 trillion as compared to Rs 7.57 trillion in the same period last year

Israeli 'Government CFO' managing $48 billion fiscal shock of Gaza war

The war, which the Finance Ministry estimates is costing the economy around $270 million every day, will come with a fiscal price tag estimated at 180 billion shekels ($48 billion) in 2023-2024

India's gross tax receipts remain robust; fiscal deficit at Rs 7.02 trn

Upward trend mainly due to spike in corporation tax mop-up

Govt's fiscal deficit rises to 39.3% of annual target in H1 of FY24

The fiscal deficit was 6.4 per cent of the GDP in 2022-23 against the earlier estimate of 6.71 per cent

Fiscal balance

Geopolitical tensions have increased risks

India likely to meet 5.9% fiscal deficit target in FY24, says IMF

Earlier, this month, India hiked the cooking gas subsidy for low income households to 300 rupees per cylinder from 200 rupees announced in August

India's debt to GDP ratio to peak at 82.3% in FY25, fall in FY29, says IMF

The IMF's present estimates mark a notable deviation from its April projections