India's fiscal deficit for April-July stands at ₹4.55L crore
What's the story
India's fiscal deficit for the first four months of this financial year, up to July, stood at ₹4.55 lakh crore. This accounts for 26.8% of the annual budget estimates for FY27, government data revealed today. The figure is an improvement from the 29.9% recorded during the same period last year. Total receipts during this period were ₹13.07 lakh crore while overall expenditure was ₹17.62 lakh crore, 35.8% and 32.9%, respectively, of this year's budget target.
Financial breakdown
Revenue receipts and RBI dividend
Revenue receipts for the period stood at ₹12.68 lakh crore, with tax revenue contributing ₹8.45 lakh crore and non-tax revenue accounting for ₹4.23 lakh crore.
Non-tax revenue typically includes dividends from public sector enterprises and the Reserve Bank of India (RBI), spectrum-related income, as well as various government fees.
The RBI recently approved a dividend of ₹2.87 lakh crore to the central government, an increase from last year's transfer of ₹2.69 lakh crore, which is expected to help reduce India's fiscal deficit further.
Budget targets
Union Budget FY27 sets fiscal deficit target
In the Union Budget for FY27, Finance Minister Nirmala Sitharaman set a fiscal deficit target of 4.3% of GDP for the current financial year.
This move reflects the government's commitment to fiscal consolidation and controlling budgetary gaps.
On the expenditure front, New Delhi spent around ₹1.54 lakh crore on key subsidies such as food, fertilizers, and petroleum, 37% of its annual target, higher than last year's 30% during this period.