Page 4 - Fiscal Deficit

India in Flux offers up new ways to think about complex challenges ahead

Few could have played the role Shankar Acharya did-navigating political, fiscal, and global pressures with clarity and conviction

Fiscal deficit hits 17.9% of full-year target in Q1FY26: CGA data

The central government's fiscal deficit stood at 17.9 per cent of the full-year target at the end of June, according to data released by the Controller General of Accounts (CGA) on Thursday. It was at 8.4 per cent of Budget Estimates (BE) of 2024-25 in the first three months of the previous financial year. In absolute terms, the fiscal deficit, or gap between the government's expenditure and revenue, was Rs 2,80,732 crore in the April-June period of the 2025-26 fiscal year. The Centre estimates the fiscal deficit during 2025-26 at 4.4 per cent of the GDP, or Rs 15.69 lakh crore. According to the CGA, Centre's net tax revenue was Rs 5.4 lakh crore, or 19 per cent of corresponding BE 2025-26 of total receipts, up to June 2025. In the corresponding period of the previous fiscal year, the net tax revenue was at 21.3 per cent of that year's BE. The data on monthly accounts showed that the total expenditure during the first quarter was at Rs 12.22 lakh crore, or 24.1 per cent of BE. In

'Govt does not foresee revenue shortfall, aims to achieve deficit target'

The Central government does not foresee any revenue shortfall at this stage and aims to achieve the targets fixed in the Budget Estimates for 2025-26, Minister of State for Finance Pankaj Chaudhary informed Parliament on Tuesday. As per the Budget, the Centre has estimated the fiscal deficit for 2025-26 at 4.4 per cent of GDP, amounting to Rs 15.69 lakh crore. In a written reply in the Rajya Sabha, the minister said the Central government supports state finances through Finance Commission grants, Centrally Sponsored Schemes, and Special Assistance as loans to states for capital expenditure. Total resources being transferred to the states, including the devolution of state's share in taxes, grants/loans and releases under Centrally Sponsored Schemes, etc, in Budget Estimates for 2025-26 is about Rs 25.01 lakh crore, he said. In reply to another question, Chaudhary said, as per inputs received from Public Sector Banks (PSBs), as on March 31, 2025, 96 per cent staff are in position ..

Fiscal deficit slips to 0.8% of full-year target at May-end 2025: CGA data

The fiscal deficit, or gap between the government's expenditure and revenue, had touched 11.9 per cent of the Budget Estimates (BE) for 2025-26 or Rs 1.86 trillion in April

Moody's review meet with govt to focus on global trade, Indo-Pak conflict

Moody's will meet Indian officials on Thursday in Delhi for its semi-annual review of India's sovereign rating amid rising geopolitical tension and trade disruption

Datanomics: Govt betters fiscal deficit target despite lower tax receipts

The credit goes to higher GDP in nominal terms than considered by the Budget

Govt outperforms on fiscal deficit, brings it down to 4.77% of GDP in FY25

Capital expenditure for FY 2024-2025 at Rs 10.5 trillion stood at 103.3 per cent of the revised estimate for the year, CGA data showed

Govt achieves fiscal deficit target of 4.8% for FY25, shows data

The government has met its fiscal deficit target of 4.8 per cent of the GDP for 2024-25, according to the data released by the Controller General of Accounts on Friday. The fiscal deficit for the previous financial year works out to be Rs 15,77,270 crore, nearly the same as revised estimates (Rs 15,69,527 crore) presented to Parliament in February. The economic growth in nominal terms for the fiscal 2024-25 is estimated at Rs 3,30,68,145 crore, according to the GDP data released earlier in the day. As per the CGA data, the government managed to collect Rs 30.36 lakh crore revenue or 98.3 per cent of the revised Budget Estimates (RE). The central government's expenditure during 2024-25 was Rs 46.55 lakh crore or 98.7 per cent of the RE. The central government's fiscal deficit for 2023-24 was 5.63 per cent of the GDP.

RBI's wider risk buffer range aimed at flexibility in times of uncertainty

RBI revises CRB range to 4.5-7.5% under updated ECF, giving it flexibility to manage surplus transfers and avoid large fiscal shocks in volatile conditions

RBI dividend may cut fiscal deficit to 4.2% of GDP in FY26: SBI report

SBI says higher-than-budgeted dividend from RBI gives government room to lower FY26 fiscal deficit to 4.2 per cent of GDP or increase spending in key areas, amid strong liquidity and BoP outlook

IMF's Gita Gopinath says US needs to curb fiscal deficit, fix debt burden

Gopinath's remarks follow Moody's downgrade of the US credit rating and highlight rising debt, tax cuts and persistent trade uncertainty under Trump

India-Pakistan tensions could strain fiscal deficit if conflict escalates

Economists say India's fiscal deficit may widen if tensions with Pakistan persist, although the broader economic impact is expected to be limited if conflict remains contained

Defence spend amid Pak tensions may hit India's fiscal strength: Moody's

Moody's Ratings says India's economy remains resilient despite Pak tensions, but increased defence expenditure could weigh on fiscal strength and delay consolidation

No question of fiscal deficit going out of control: FM Nirmala Sitharaman

Sitharaman's comment comes at a time when forecasting agencies have pared down their FY26 growth estimates for India amid growing global uncertainty

China's fiscal revenue falls 1.1% in Jan-Mar 2025 amid ongoing tariff war

China's tax revenue fell 3.5% in the first quarter from the previous year, while non-tax revenue surged 8.8%, the ministry said

India's Apr-Feb fiscal deficit at 85.8% of full-year target, shows data

In the annual budget in February, India revised lower its fiscal deficit target for the current financial year to 4.8% of GDP and aimed to further narrow it to 4.4% in 2025-26

RBI increases state bond auction amount to Rs 52,120 cr from Rs 40,120 cr

In the previous auction, the cut-off yield on 10-year state bonds was set in the range of 7.18 per cent to 7.27 per cent

TN Budget: Fiscal deficit at 3% of GSDP in FY26; Hosur to be new GCC hub

Finance minister Thangam Thennarasu said that the state's revenue for the financial year 2025-26 is estimated at Rs 3,31,569 crore, while expenditure is estimated at Rs 3,73,204 crore

Govt seeks Parliament approval for Rs 51,000 crore extra cash outgo

Gross additional spending to be matched by savings of Rs 6.27 trillion

Fiscal deficit touches 74.5% of full year target at end-Jan, shows CGA data

In actual terms, the fiscal deficit -- the gap between expenditure and revenue -- was Rs 11,69,542 crore during the April-January 2024-25 period