Centre’s fiscal deficit touches 54.5% of full year target at end-December

New Delhi: The Centre’s fiscal deficit at the end of December stood at Rs 8.55 lakh crore, or 54.5 per cent of the annual budget target for 2025-26, compared to 56.7 per cent in the year-ago period, government data released on Friday showed.

The Centre estimates the fiscal deficit (the gap between expenditure and revenue) during 2025-26 at 4.4 per cent of GDP, or Rs 15.69 lakh crore.

According to data released by the Controller General of Accounts (CGA), the central government received Rs 25.25 lakh crore or 72.2 per cent of the corresponding budget estimates (BE) of 2025-26 of total receipts up to December 2025.

It comprised Rs 19.39 lakh crore of tax revenue (net to Centre), Rs 5.39 lakh crore of non-tax revenue, and Rs 46,047 crore of non-debt capital receipts.

The CGA data showed that Rs 10.38 lakh crore was transferred to states as devolution of share of taxes by the central government during April-December, which is Rs 1.37 lakh crore higher than the year-ago period.

Total expenditure incurred by the central government was Rs 33.8 lakh crore (66.7 per cent of the corresponding BE 2025-26), out of which Rs 25.93 lakh crore was on the revenue account and Rs 7.87 lakh crore on the capital account.

Out of the total revenue expenditure, Rs 9.11 lakh crore was on account of interest payments and Rs 3.17 lakh crore on major subsidies.

The Economic Survey 2025-26, tabled in Parliament on Thursday, showed that the government is well on track to meet the fiscal deficit target of 4.4 per cent of GDP estimated for the current financial year based on broad trends.