The central government’s fiscal deficit fell sharply to 0.8 per cent of the full-year target at the end of May 2025, aided by a record Rs 2.69 lakh crore dividend received from the Reserve Bank of India, according to data released by the Controller General of Accounts (CGA).In April, the fiscal deficit stood at 11.9 per cent of the Budget Estimates (BE) for 2025-26, or Rs 1.86 lakh crore. Following the RBI dividend payout, it fell to Rs 13,163 crore or 0.8 per cent of the full-year BE, CGA data showed, reported PTI.The Centre has pegged the fiscal deficit at 4.4 per cent of GDP or Rs 15.69 lakh crore for 2025-26.In comparison, the fiscal deficit stood at 3.1 per cent of the BE for 2024-25 during the first two months of the previous fiscal.As per CGA data, the government received Rs 2.78 lakh crore under ‘dividends and profits’ in April-May, amounting to 86 per cent of the budgeted estimates.The Government of India’s total receipts stood at Rs 7.32 lakh crore, or 21 per cent of the BE 2025-26, comprising Rs 3.5 lakh crore as net tax revenue, Rs 3.56 lakh crore in non-tax revenue, and Rs 25,224 crore in non-debt capital receipts.CGA said Rs 1.63 lakh crore was devolved to state governments as their share of taxes — Rs 23,720 crore higher than the same period last year.Total expenditure by the Centre during April-May stood at Rs 7.46 lakh crore, or 14.7 per cent of the BE. This included Rs 5.24 lakh crore of revenue expenditure and Rs 2.21 lakh crore of capital expenditure.Of the total revenue expenditure, Rs 1.47 lakh crore went towards interest payments and Rs 51,253 crore towards major subsidies, CGA said.
