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India's Fiscal Deficit Hits 4.4% of GDP in FY26
1 Jun
Summary
- India's fiscal deficit was 4.4% of GDP for the year ended March 31, 2026.
- The deficit reached 15.19 trillion rupees, meeting revised government estimates.
- Government expenditure for FY26 was 49 trillion rupees, an increase from the prior year.
India's fiscal deficit for the financial year ending March 31, 2026, was recorded at 4.4% of the gross domestic product. This figure is in line with the government's revised estimates presented earlier this year.
The total deficit amounted to 15.19 trillion rupees, representing 97.5% of the February revised projections. In April, the fiscal deficit had reached 21.4% of the full-year budget target for the period ending March 2027.
For the financial year 2025/26, net tax receipts were 33 trillion rupees, an increase from the previous year. Non-tax revenue also grew to 6.8 trillion rupees. Total government expenditure for the year stood at 49 trillion rupees, compared to 47.16 trillion rupees a year earlier. Capital expenditure, dedicated to infrastructure development, was 10.7 trillion rupees, up from 10.18 trillion rupees.
