India's Fiscal Deficit Narrows In Q1 2024-25

ENA Economy 2024-08-01 16:08:14 New Delhi, Aug 1 (KNN) Government data reveals that India's fiscal deficit for the first quarter of the financial year 2024-25 stood at Rs 1.36 lakh crore, representing 8.1 per cent of the annual estimate. This marks a substantial improvement from the previous year, when the Q1 fiscal deficit accounted for 25.3 per cent of the annual target. The total receipts for Q1 2024-25 reached Rs 8.34 lakh crore, constituting 27.1 per cent of the year's budget target. This figure shows an increase from the 22.1 per cent recorded in the same quarter last year. Concurrently, total expenditure amounted to Rs 9.70 lakh crore, or 20.4 per cent of the annual target, down from 23.3 per cent in Q1 2023-24. Breaking down the revenue receipts of Rs 8.30 lakh crore, tax revenue accounted for Rs 5.50 lakh crore, while non-tax revenue contributed Rs 2.80 lakh crore. The substantial rise in non-tax revenue can be attributed to Rs 2.11 lakh crore dividend payout from the Reserve Bank of India (RBI). Comparative analysis shows that tax revenue in Q1 2024-25 reached 21.1 per cent of the annual target, up from 18.6 per cent in the corresponding period last year. Non-tax revenue saw a more significant jump, reaching 70.1 per cent of the target compared to 51.4 per cent in Q1 2023-24. In the Union Budget 2024, presented on July 23, Finance Minister Nirmala Sitharaman set the fiscal deficit target at 4.9 per cent of GDP. This target represents a reduction from the 5.1 per cent projection in the interim budget presented in February. (KNN Bureau) 38828 https://knnindia.co.in/news/newsdetails/economy/indias-fiscal-deficit-narrows-in-q1-2024-25 2024-08-01 16:08:14 knnindia.co.in India's Fiscal Deficit Narrows In Q1 2024-25