INSUBCONTINENT EXCLUSIVE:
37.3 per cent of the full-year Budget Estimate (BE) of Rs 16.6 trillion, according to the data released by the Controller General of
Accounts (CGA) on Monday.
This compares with a Budget balance of Rs 5.27 trillion, or 35 per cent of the full-year target for
April-September of last year
The Centre is hopeful of keeping the fiscal deficit at 6.4 per cent of nominal GDP in FY23.
For H1, while capital expenditure outlay was
strong compared to last year, net tax revenue showed a drop as a percentage of full-year target
However, as the chart shows, capex as a percentage of BE has still not reached pre-pandemic levels, when the Centre was spending more than
50 per cent of its capex in H1.
Net tax revenue for H1FY23 was Rs 10.12 trillion or 52.3 per cent of FY23 BE compared with 59.6 trillion in
Non-tax revenue was 58.4 per cent versus 66 per cent, as the Reserve Bank of India had paid a much higher surplus last year, while non-debt
collections have shown healthy growth so far and are expected to surpass the full-year budgeted target despite the Customs and excise duty
While the scenario is optimistic on the tax collections front, the non-tax revenue could see some shortfall primarily due to lower dividend
transfer from the RBI in the current fiscal year
While non-debt capital receipts are higher with LIC disinvestment being through, it will be challenging to meet the target of Rs 65,000
that the target of dividends from non-financial state-owned enterprises (PSUs) could be missed this year
Oil and gas companies contribute a major chunk of PSU dividends
However, they may not be able to pay as much as previous years, or not at all, because of how crude oil prices have impacted them.
Revenue
expenditure in H1FY23 was Rs 14.81 trillion or 46.3 per cent of FY23 BE, compared with Rs 13.97 trillion, which was 47.7 per cent of last
Capex outlay for April-September this year was Rs 3.43 trillion, which was 45.7 per cent of BE of Rs 7.5 trillion, compared with Rs 2.29
expenditure being partially offset by higher revenue realisations and no shortfall in the disinvestment proceeds we expect the fiscal
