Centre's fiscal deficit hits 17.9% of full-year target in Q1; higher spending lifts gap to Rs 2.8 lakh crore: CGA data
India's fiscal deficit surged to 17.9% of the annual target by June 2025, significantly higher than the previous year, according to the Controller General of Accounts. The revenue-expenditure gap reached Rs 2.8 lakh crore. While tax devolution to states increased, ICRA's Aditi Nayar pointed out that tepid direct tax collections impacted revenue.
India's fiscal deficit surged to 17.9% of the annual target by June 2025, significantly higher than the previous year, according to the Controller General of Accounts. The revenue-expenditure gap reached Rs 2.8 lakh crore. While tax devolution to states increased, ICRA's Aditi Nayar pointed out that tepid direct tax collections impacted revenue.
