Archive · 2 Aug 2026
India Fiscal Deficit Hits 18.2% of FY27 Target in Q1
India’s government keeps track of how much money it spends and how much it earns.
In the first three months of the 2026‑27 fiscal year, it spent more than it earned by about 3,07,833 crore rupees.
That gap is called the fiscal deficit.
It is 18.2% of the total amount the government planned to spend for the whole year.
The government had aimed for a smaller gap of 4.3% of the country’s total economic output.
The money the government collected from taxes was 6.36 lakh crore rupees, which is about 22% of what it expected to collect.
The total spending was 13.57 lakh crore rupees, about 25% of what it expected to spend.
In the same period last year, the gap was smaller, at 2.81 lakh crore rupees, or 17.9% of the expected spending.
Fiscal deficit in Q1 FY27 was Rs 3,07,833 crore, 18.2% of the full‑year target.
This exceeds the Rs 2.81 lakh crore (17.9%) deficit in the same period FY26.
The government budgeted a deficit of Rs 16.96 lakh crore (4.3% of GDP) for FY27.
Net tax revenue in Q1 was Rs 6.36 lakh crore, 22.2% of the Budget Estimate.
Total expenditure in Q1 was Rs 13.57 lakh crore, 25.4% of the Budget Estimate.
- Who
- Central government of India
- What
- Reported fiscal deficit for the first quarter of FY27
- When
- End of June 2026 (April‑June quarter)
- Where
- New Delhi, India
- Why
- To assess fiscal performance against the budgeted target
- Fiscal deficit (Q1 FY27)
- Rs 3,07,833 crore (18.2% of target)
- Budgeted deficit FY27
- Rs 16.96 lakh crore (4.3% of GDP)
- Net tax revenue Q1
- Rs 6.36 lakh crore (22.2% of BE)
- Total expenditure Q1
- Rs 13.57 lakh crore (25.4% of BE)
- Fiscal deficit FY26 Q1
- Rs 2.81 lakh crore (17.9% of BE)