The fiscal deficit hit nearly 75 per cent of its full-year target as the government continued its public spending while its receipts grew modestly, according to the data released by the Controller-General of Accounts on Wednesday. They showed that the Centre’s fiscal deficit, or the gap between expenditure and revenue, rose to ₹3,93,487 crore or 73.7 per cent of the Budget Estimate between April and July this fiscal. It was much lower at 69.3 per cent of the Budget Estimates a year ago.
The government has set a target of containing the fiscal deficit at 3.5 per cent of GDP in 2016-17. Finance Minister Arun Jaitley is confident of meeting the target.
The revenue deficit jumped to ₹3,29,638 crore or 93.1 per cent of the Budget Estimate in just the first four months of the fiscal.
While receipts totaled ₹2,63,200 crore or 18.2 per cent of the Budget Estimate, total expenditure was ₹6,56,687 crore or 33.2 per cent of the BE in the period under review. Plan expenditure amounted to ₹1,97,751 crore or 36 per cent of the full-year target while Non-Plan expenditure rose to ₹4,58,936 crore or 32.1 per cent of the Budget Estimate in the first four months of the fiscal.