The Centre’s fiscal deficit for the first quarter of FY23 (April-June) came in at Rs 3.52 trillion, or 21.2 per cent of the full year target of Rs 16.6 trillion, and on the back of strong capital expenditure outlay and weak non-tax receipts. Fiscal deficit for the same period last year (April-June FY22) was Rs 2.7 trillion, or 18.2 per cent of the FY22 budget estimate of Rs 15.07 trillion.
Data released by the Controller General of Accounts (CGA) on Friday showed that revenue receipts came in at Rs 5.68 trillion, or 25.8 per cent of the full year target, compared with 30.2 per cent for the same period last year. Net tax revenue was Rs 5.06 trillion, or 26.1 percent of BE, compared with 26.7 percent.
Non-tax revenue collections for Q1FY23 came in at Rs 62,160 crore compared with Rs 1.27 trillion for the same period last year. This was because the Reserve Bank of India, for its fiscal year ending March 2022 (which will reflect in the centre’s current fiscal year), transferred Rs 30,307 crore as dividend, much lower than expectations. Last year, the dividend transferred was Rs 99,122 crore.
Non-debt capital receipts for Q1 came in at Rs 27,982 crore, compared with just Rs 7,402 crore last year, primarily on back of Rs 20,516 crore from the initial public offering of LIC.
Total expenditure for Q1 was Rs 9.48 trillion, or 24 percent of FY23 budget size of Rs 39.4 trillion, compared with Rs 8.2 trillion in Q1FY22. Revenue expenditure was Rs 7.72 trillion compared with Rs 7.1 trillion, while capex was Rs 1.75 trillion compared with Rs 1.11 trillion.