Centre’s fiscal deficit crosses a third of full-year target in Jul
NEW DELHI : The government’s fiscal deficit has crossed ₹6 trillion or a third of the ₹17.9 trillion estimated in the union budget for FY24, data from the Comptroller General of Accounts (CGA) showed on Thursday. Fiscal deficit—the gap between spending and receipts, met through borrowings—stood at 33.9% of the full- year target in July, aided by strong tax and non-tax revenue receipts. Fiscal deficit in the first four months of FY23 was at 20.5% of the full-year target.
Higher revenue spending and front- loading of capital expenditure led to fiscal deficit in April-July this year reaching a third of the full year target. Overall revenue receipts in the first four months of this fiscal stood at ₹7.6 trillion or 29% of the full year target. Revenue deficit, or the gap between revenue receipts and revenue spending, stood at ₹3 trillion up to the end of July, accounting for 35% of the full-year target.
Meanwhile, the index of eight core industries rose 8% in July 2023 as compared with the same period last year, according to provisional figures released by the ministry of commerce and industry. All core industries witnessed on-year growth in the month ended 31 July, with crude showing a positive growth after 13 months and electricity and coal production rising despite unseasonal rains. The combined index of eight core industries— comprising crude oil, steel, coal, cement, refinery products, natural gas, fertilisers and electricity—had increased by 8.2% annually in May 2023.
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