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April-August fiscal gap rises to ₹5.98 tn
Mint Bangalore
|October 01, 2025
India's fiscal deficit rose in the first five months of 2025-26, as compared with the same period last year, due to higher government capital expenditure while net tax revenue declined.
The latest data appears to reflect front-loaded capital expenditure in early FY26, particularly a resurgence in spending.
(BLOOMBERG)
The Union government reported a fiscal deficit of ₹5.98 trillion for April-August, amounting to 38.1% of the target for the entire 2025-26 fiscal year (FY), according to data released by the Controller General of Accounts on Tuesday.
For the same period last year, the fiscal deficit was ₹4.35 trillion.
The government has maintained a strong commitment to fiscal consolidation, with the deficit for FY26 projected at ₹15.69 trillion, lower than the ₹16.85 trillion reported in FY25, and pegged at 4.4% of gross domestic product (GDP).
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