Fiscal Deficit for April-May 2024 at 3% of FY 2025 estimates

fiscal deficit for april-may 2024 at 3% of fy 2025 estimates

Fiscal Deficit for April-May 2024: India's fiscal deficit for the month of April and May 2024 - the first two months of the current financial year stood at Rs 50,615 crore, 3 per cent of the estimates for the complete year. According to the government data, the next tax revenues for April-May stood at Rs 3.19 trillion at 12 per cent of the yearly target.

The total expenditure of the government during the past two months was Rs 6.23 lakh crore - 13 per cent of the goal it has set for the current fiscal. This is slightly less than the Rs 6.26 lakh crore for the same period last year. The dip in government spending was reduced due to the Lok Sabha elections that took place in April-May.

"Total Expenditure incurred by Government of India is ₹6,23,460 crore (13.1% of corresponding BE 2024-25), out of which ₹4,79,835 crore is on Revenue Account and ₹1,43,625 crore is on Capital Account. Out of the Total Revenue Expenditure, ₹1,23,810 crore is on account of Interest Payments and ₹54,688 crore is on account of Major Subsidies," the Ministry of Finance said in a press release.

The government's capital expenditure on infrastructure was Rs 1.44 trillion, or 13% of the annual target, lower than 1.68 trillion rupees in the same period last year. In the interim Budget presented by Finance Minister Nirmala Sitharaman in February 2024, the government set a fiscal deficit target of 5.1% of GDP for this fiscal year, down from a revised 5.6% in the previous year.

The Finance Minister will present the final Budget for FY 2024-25 in July 2024. There are speculations that the budget would be announced on July 22-23, however, the government has made no final announcements regarding the same.