Fiscal deficit touches 21.2% of annual target in Q1

The central government's fiscal deficit touched 21.2 per cent of the annual target in the June quarter as against 18.2 per cent in the year-ago period, according to official data.

The fiscal deficit is the difference between total expenditure and revenue of the government.

It indicates the total borrowing that are needed by the government.

In actual terms, the fiscal deficit was at Rs 3.51 lakh crore at the end of the first quarter of 2022-23, data from the Controller General of Accounts (CGA) data showed on Friday.

The country's fiscal deficit is projected at 6.4 per cent of the GDP for this fiscal ending March 2023 as against 6.71 per cent for the previous year.

As per the monthly account of the Union government up to June 2022 released by CGA, the receipts stood at Rs 596,040 crore or 26.1 per cent of the corresponding Budget Estimates (BE) 2022-23 of total receipts.

In the year-ago period, the receipts stood at 27.7 per cent of BE 2021-22.

In the latest June quarter, the total expenditure incurred by the central government was at Rs 947,911 crore or 24 per cent of corresponding BE 2022-23.

It was at 23.6 per cent of BE 201-22 in the corresponding period.

For 2022-23, the fiscal deficit of the government is estimated to be Rs 16,61,196 crore.