India's April-June Fiscal Deficit At Rs 4.50 Lakh Crore, Touches 25.3% Of FY 2023-24 Target

The government's fiscal deficit for the first 3 months i.e April-June quarter of 2023-24 stood at Rs 4.51 lakh crore, or 25.3% of the annual target of Rs 17.87 lakh crore, according to data issued by the Controller General of Accounts on July 31.

The fiscal deficit increased from 21.2% in the previous year to 22.2% this year. Total receipts stood at Rs 5.99 lakh crore rupees, whereas total spending was Rs 10.51 lakh crore rupees from April to June. They represented 22.1% and 23.3% of this fiscal year's budget target, respectively.

At Rs 58.86 lakh crore rupees, total revenue was made up of Rs 15.50 lakh crore rupees in non-tax revenue and 43.36 lakh crore rupees in tax revenue.

Revenues from taxes and non-tax sources fell short of planned expectations by 18.6% and 51.4%, respectively. While tax revenue was less than 26.1% of the year prior, non-tax revenue significantly increased from 23.1%.

The Reserve Bank of India (RBI approved the transfer of Rs 87,416 crore as excess to the central government, which resulted in a jump in non-tax revenue.

Data showed that the revenue shortfall was 18.36 lakh crore rupees or 21.1% of the budgeted amount for the fiscal year.

Finance Minister Nirmala Sitharaman stated that India seeks to reduce the fiscal gap from 6.4% of gross domestic product to 5.9% of gross domestic product in the current fiscal year.

In terms of spending, New Delhi spent 87,035.14 crore rupees on important subsidies including food, fertiliser, and fuel. This was 23% of the annual goal, which was higher than the 21% of anticipated spending during the same time period the previous year.