NEW DELHI: Fiscal deficit has increased 40% in the first 8 months of the current financial year. It stood at Rs 9.78 lakh crore for April-November 2022 period compared to Rs 6.95 lakh crore in the same period last year.
The fiscal deficit has reached nearly 59% of its full-year budget estimates up to November this year, according to the data compiled by the Controller General of Accounts (CGA). Fiscal deficit is the difference between total expenditure and total receipts. The government has budgeted for a Rs 16.6 lakh crore fiscal deficit in the current financial year.
It is to be noted that in the previous year, the fiscal deficit was 46.2% of the budget estimates of the 2021-22. The government has set the fiscal deficit target for the current financial year at 6.4% of the GDP. Last year, the fiscal deficit target worked out to be 6.7% of the GDP. The high deficit number can be attributed to lower non-tax revenues and high capital expenditure during the period.
The net tax revenue of the government up to November was recorded at Rs 12.24 lakh crore in April-November 2022 period compared with Rs 11.35 lakh crore in the previous year. It is 63.3% of the budgeted estimates of Rs 19.34 lakh crore for FY23.