New Delhi, Feb 1 (UNI) The government has brought down the fiscal deficit despite very challenging times with transparency and prudence, Finance Minister Nirmala Sitharaman said on Thursday during the post-Budget media conference.
The central government expects to achieve a fiscal deficit of 5.8 % of GDP (gross domestic product) for the financial year 2023-24 as against the budget estimate of 5.9% of GDP.
The interim Budget has projected a fiscal deficit of 5.1% of GDP for 2024-25.
Calculated as a percentage of GDP, fiscal deficit is the gap between the government’s total revenue and expenditure. The government meets the deficit through market borrowing.
Presenting the interim Budget, Sitharaman said that now that the private investments are happening at scale, the lower borrowings by the central government will facilitate larger availability of credit for the private sector.
“We are not only aligning with the fiscal consolidation path laid down earlier, but we are also bettering it,” Sitharaman said.
Gross and net market borrowings through dated securities during 2024-25 are estimated at Rs 14.13 and Rs 11.75 lakh crore respectively.
