According to data from the Controller General of Accounts (CGA), the fiscal deficit for April-May 2024 amounted to Rs 50,615 crore, or 3% of the BE for 2024-25.
The central government’s fiscal deficit stood at 3% of annual estimates by the end of May in the financial year 2024-25, a period that included the Lok Sabha elections that saw the Model Code of Conduct (MCC) in place.
During the corresponding period of the previous financial year, the fiscal deficit – the difference between the government’s expenditure and revenue – stood at 11.8% of the Budget Estimates (BE) for 2023-24.
For the current fiscal year, the government projects the fiscal deficit to be 5.1% of the GDP, amounting to Rs 16,85,494 crore.
According to data from the Controller General of Accounts (CGA), the fiscal deficit for April-May 2024 amounted to Rs 50,615 crore, or 3% of the BE for 2024-25. During the same period in the previous fiscal year, it was 11.8% of the BE.
Net tax revenue for April-May 2024 stood at Rs 3.19 lakh crore, or 12.3% of the BE for 2024-25, compared to 11.9% of the BE for 2023-24 in the corresponding period.
By the end of May 2024, total expenditure reached Rs 6.23 lakh crore, which represents 13.1% of the BE for the fiscal year. In comparison, it was 13.9% of the BE during the same period the previous year.
During 2023-24, the central government’s fiscal deficit of 5.6% of the GDP performed better than earlier estimates of 5.8%, attributed to higher revenue collection and reduced expenditure.
Under the Fiscal Responsibility & Budget Management (FRBM) Act, the government aims to achieve a fiscal deficit of 4.5% in 2025-26.
Source:financialexpress.com