India's Fiscal Deficit Hits 7.14 Trillion Rupees

The Government of India reported a fiscal deficit of 7.14 trillion rupees for the first six months of the 2026-27 financial year, spanning April through September. This figure represents 42.1% of the full-year target and marks an increase from the 5.7 trillion rupee deficit recorded during the same period in the previous financial year, which accounted for 36.5% of that year's budget estimates.

Total government expenditure rose to 25.5 trillion rupees during this period. This included an increase in capital expenditure on physical infrastructure and asset creation, which grew to 6.5 trillion rupees from 5.8 trillion rupees a year earlier. Net tax revenue for the period was 12.76 trillion rupees, while non-tax revenue increased to 4.8 trillion rupees.

The government has established a fiscal deficit target for the 2026-27 financial year of 4.3% of gross domestic product, totaling 16.96 trillion rupees.