Fiscal deficit: just 3% of GDP in April-May; Rs 3.19 lakh crore earned as net tax revenue

The central government's fiscal deficit was only 3% or Rs 50,615 crore as a proportion of GDP in April-May. It worked to 11.8% of the budget estimate in April-May 2023-24. The government has pegged a target to keep it at 5.1% of GDP or Rs 16.85 lakh crore for the current financial year. According to data released by the Comptroller and Auditor General on Friday, net tax revenue has been Rs 3.19 lakh crore or 11.8% of the budget estimate for 2024-25. It was 11.9% in the same period a year ago.

The government's Total liabilities went up 3.4 % to Rs 171.78 lakh crore by March this year from Rs 166.14 lakh crore by the end of December. Public debt was 90.2 % of gross liabilities in the quarter under review, it added. The Finance Ministry said the returns on domestic bonds softened due to the borrowing plan announced in the interim budget being lower than expected.

Wherein the government's total expenditure was Rs 6.23 lakh crore till May-end or 13.1% of the budget estimate for the current financial year, which was 13.9% last year. The fiscal deficit was 5.6% of GDP in 2023-24.