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The Economic Times

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Unfazed by West Asia crisis, fiscal deficit within range at 18.2% in Q1

The Centre's fiscal deficit reached 18.2% of the full-year target in the first quarter. Higher spending was offset by stronger net tax collections, analysts noted. Revenue expenditure rose over 7% year-on-year, driven by increased April spending. Capital expenditure remained strong, increasing 24% year-on-year during the quarter. This data suggests the government will likely meet its fiscal deficit target.

1 Aug 2026 1:37 am