Fiscal Balancing Act: India's Financial Landscape

The fiscal deficit of India stood at Rs 12.52 lakh crore by February-end, achieving 80.4% of the annual target for 2025-26. Compared to the previous year: 85.8%. Revenue collections amounted to Rs 27.91 lakh crore with tax contributions leading. Overall government expenditure reached Rs 40.44 lakh crore.

India's fiscal deficit reached Rs 12.52 lakh crore by the end of February, achieving 80.4% of the annual target for the fiscal year 2025-26. Comparatively, this marks an improvement from 85.8% in the same period last year, as revealed by recent government data.

The central government's estimated fiscal deficit for the 2025-26 period stands at 4.4% of GDP, amounting to Rs 15.58 lakh crore. The Controller General of Accounts (CGA) highlighted that by February-end 2026, total receipts amounted to Rs 27.91 lakh crore, representing 82% of the budget target.

Of the total receipts, tax revenue contributed Rs 21.45 lakh crore, while non-tax revenue made up Rs 5.8 lakh crore. Spending by the central government from April to February totaled Rs 40.44 lakh crore, capturing 81.5% of the full financial year budget target.

(With inputs from agencies.)