India’s fiscal deficit for April-December 2024 stood at ₹9.14 lakh crore, accounting for 56.7% of the full-year target of ₹16.13 lakh crore, according to the data released by Controller General of Accounts (CGA) on Friday (January 31).
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This is lower than the ₹9.82 lakh crore fiscal deficit recorded during the same period in the previous year. The deficit was 55% of the budget estimate (BE) of 2023-24 in the year-ago period.
Total expenditure during April-December increased to ₹32.32 lakh crore from ₹30.54 lakh crore in the year-ago period, while total receipts rose to ₹23.18 lakh crore from ₹20.72 lakh crore. Capital expenditure for the period stood at ₹6.85 lakh crore, slightly higher than ₹6.74 lakh crore in the corresponding period last year.
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Gross tax revenue for April-December reached ₹27.50 lakh crore, up from ₹24.83 lakh crore in the same period last year. Tax devolution to states stood at ₹9.01 lakh crore, compared to ₹7.47 lakh crore in the previous year.
For December alone, the fiscal deficit was ₹67,500 crore, down from ₹75,700 crore in the same month last year. Total expenditure for the month rose to ₹4.91 lakh crore from ₹4.02 lakh crore, while total receipts increased to ₹4.24 lakh crore from ₹3.26 lakh crore.
Capital expenditure for December surged to ₹1.72 lakh crore, significantly higher than ₹87,985 crore in December 2023. Gross tax revenue for the month stood at ₹4.90 lakh crore, up from ₹4.41 lakh crore in the year-ago period.
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In the Union Budget, the government is projected to bring down the fiscal deficit to 4.9% of gross domestic product (GDP) in the current financial year. The deficit was 5.6% of the GDP in 2023-24.
Fiscal deficit is the difference between the total expenditure and revenue of the government. It is an indication of the total borrowings needed by the government.
