For 2023-24, the federal government’s fiscal deficit is estimated at Rs 17.35 lakh crore or 5.8 per cent of the GDP.
India’s fiscal deficit information for April-February 2024: The complete expenditure incurred by the Centre was Rs 37.47 lakh crore (83.4 per cent of corresponding RE 2023-24)
India’s fiscal deficit throughout April-February 2024 stood at Rs 15 lakh crore, hitting 86.5 per cent of the revised full FY24 goal, in response to official information launched on Thursday.
The fiscal deficit throughout the corresponding interval final yr had stood at 82.8 per cent of revised estimates (RE) of the Union Budget 2022-23.
Fiscal deficit, which is the distinction between the full expenditure and income of the federal government, is a sign of the full borrowings which are wanted by the federal government.
For 2023-24, the federal government’s fiscal deficit is estimated at Rs 17.35 lakh crore or 5.8 per cent of the GDP. The authorities’s complete receipts stood at Rs 22.45 lakh crore (81.5 per cent of corresponding RE 2023-24 of complete receipts) as of February 2024, in response to the info launched by the Controller General of Accounts (CGA).
The complete expenditure incurred by the Centre was Rs 37.47 lakh crore (83.4 per cent of corresponding RE 2023-24).
Aditi Nayar, chief economist and head (analysis & outreach) at ICRA, mentioned, “The surge in the GoI’s fiscal deficit in February 2024 (Rs 4 lakh crore Vs Rs 2.6 lakh crore in February 2023) can be partly attributed to the higher tax devolution released during that month (Rs 2.1 lakh crore vs Rs 1.4 lakh crore in February 2023), which led to a decline in the revenue receipts and net tax revenues in that month.”
The GoI’s gross tax revenues must report an 8% progress within the final month of FY2024 to fulfill the RE for the yr, which appears achievable, she mentioned.
“The GoI has released Rs 10.3 lakh crore as tax devolution to the states in FY2024 by end-Feb 2024, leaving Rs 0.7 billion for disbursal to the states to meet the target tax devolution of Rs 11 lakh crore indicated in the FY2024 RE by the GoI, half as much as the release in March 2023,” Nayar mentioned.
