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Fiscal deficit
Why is it in news?
- As per the official data, India’s fiscal deficit shot up to 135.1% of the Budget target of nearly ₹8 lakh crore for 2020-21.
Details:
- The higher fiscal deficit is primarily originating from lower receipts.
- Revenue deficit almost touched 140% of the Budget target by November.
- Government spending, including capital expenditure considered critical to revive the economy, remained lower than a year earlier.
- Corporate tax collections were ₹03 lakh crore lower year-on-year and income tax collections were down ₹33,000 crore.
- Non-tax revenue has also been lower so far at just about 32% of budgeted amount.