The government may cut its expenditure for the first time in three years in the current financial year. For the current financial year starting from April 1, the total expenditure of the government may come down drastically. 39.45 lakh crore was estimated to be spent in the budget for 2022-23.
The government is keen to rein in the fiscal deficit as it is well above the historical levels of 4 percent to 5 percent. During the first year of the Kovid-19 pandemic in 2020-21, it had reached a record of 9.3 percent.
The government's fiscal deficit during April-August reached a record Rs 5.40 lakh crore, which is 32.6 percent compared to the budget estimate of Rs 16.6 lakh crore. It was Rs 4.68 lakh crore in the same period a year ago, which was 31.1% of the budget estimate at that time.
Decision on area-wise deduction till December
The government is not going to deviate from the fiscal deficit target. It is not known which sectors are likely to be affected by the spending cuts, as discussions on the revised budget estimates are underway and a final decision will be taken by the end of December.
There may be an increase in revenue up to two lakh crores
Tax cuts on fuel, aimed at mitigating the impact of rising global energy prices, could reduce revenue by more than one lakh crore. Still, the revenue may increase from 1.5 lakh crores to 2 lakh crores. The increase in revenue will still not be enough to cover the anticipated additional expenses. Because the government will have to provide additional food and fertilizer subsidy of Rs 1.5 lakh crore to Rs 1.8 lakh crore.
Also Read: Semiconductor: HCL-Reliance form semiconductor together, both can buy a 30-30 percent stake in ISMC
KIIT Row: Action in the suicide case of Nepali student, high-level committee summoned KIIT founder
The investigation into the alleged suicide of the female student in the hostel and the subsequent
After Ranveer Allahabadia's objectionable statement on stand-up comedian Samay Raina's show 'Indi
Amid the two-week-long military conflict between Israel and Iran, India has launched Operation Si
After the Pahalgam terrorist attack, tensions between India and Pakistan are constantly increasin
After the announcement of a ceasefire between India and Pakistan, there is peace on the border. T
In a thrilling match of IPL 2025, Delhi Capitals won a dramatic one-wicket victory over Lucknow S
CM Eknath Shinde has given a big statement on the ongoing border dispute between Maharashtra-Karn
The BJP leader accused Indian Overseas Congress President Sam Pitroda of illegally usurping 12.35
During the SCO (Shanghai Cooperation Organization) conference in Qingdao, China, India suggested
Congress said on Thursday that the government should call a special session of Parliament to disc
