New Delhi, Feb. 1 -- Presenting the Union Budget, Finance Minister Nirmala Sitharaman on Saturday pegged the fiscal deficit target at 4.4 per cent of GDP for the financial year 2025-26.

For 2024-25, the fiscal deficit target has been revised from 4.9 per cent of gross domestic product (GDP) to 4.8 per cent. In the Interim Budget tabled on February 1 last year, the Finance Minister had pegged it at 5.1 per cent of GDP.

In 2023-24, the government pegged the fiscal deficit target for 2023-24 at 5.9 per cent of gross domestic product (GDP). Later, the fiscal deficit for 2023-24 was downwardly revised to 5.8 per cent.

The difference between total revenue and total expenditure of the government is termed as the fiscal deficit. It is an indic...