Fiscal deficit at 29.4% of FY25 target in first half as infra spends slow down

The Centre's fiscal deficit in the first six months of the current financial year has reached 29.4% of the budgeted target of ₹16.13 lakh crore.

- Dipak Mondal

Last year during the same period, the fiscal deficit touched 39.3% of the budgeted target.

The fiscal deficit, which is the difference between the government's total receipt and total expenditure, during April-September 2024 was ₹4.75 lakh crore compared to ₹7 lakh crore during the same period last year.

The net tax revenues during the period rose for the government by 9% year-on-year, while non-tax revenues grew by 51%, boosted by the RBI dividend. Revenue expenditure during the first six months grew by a modest 4%, while capital expenditure contracted by 15%.