Fiscal deficit in control despite public capex rise
New Delhi, Nov. 1 -- India's fiscal math is holding steady even as the government aggressively steps up public investment. Despite a 40% surge in capital expenditure (capex) in the first six months of FY26, helped by a low base, the Centre has managed to keep its fiscal deficit comfortably below the halfway mark of the annual target, aided by a windfall dividend payout of Rs.2.56 lakh crore from the Reserve Bank of India (RBI).
India's fiscal deficit for April-September 2025 stood at Rs.5.73 lakh crore, accounting for just 36.5% of the budget estimate for the current financial year (FY26).
In the first half of the previous fiscal year, the deficit was 29.4% of the budgeted target, largely due to slow government spending as a result of elect...
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