Earlier in the day, the Economic Survey suggested that India is on track to meet its fiscal deficit target for FY23. The deficit indicates the gap between the government's revenue and the amoung of money it spends in a year. Between April to December 2022, the fiscal deficit for India touched Rs 9.93 lakh crore, which represents 59.8 per cent of the target set at Rs 16.61 lakh crore.
Although India collected Rs 15.56 lakh crore from taxes, it spent Rs 28.18 lakh crore, while expenses may overshoot targets with the need for post-pandemic support. For FY23, the government had set the target at 6.4 per cent of the GDP, and is expected to cut it down to 5.8 per cent for FY24 in the upcoming budget.
The government is also expected to borrow a record Rs 15.8 lakh crore for the next fiscal year to fund its expenses.
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