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Sitharaman Says India Nearing No. 3 Economy, Vows To Hit 4.4% FY26 Deficit Target

Official accounts show a Rs 5.73 lakh crore shortfall at mid-year equal to 36.5% of the Budget estimate.

Overview

  • The finance minister said public sector bank balance sheets have strengthened compared with the twin balance sheet stress seen 7–8 years ago.
  • She said policy measures have lifted 25 million people out of multi-dimensional poverty.
  • She reiterated confidence in meeting the Centre’s FY26 fiscal deficit goal of 4.4% of GDP, or Rs 15.69 lakh crore.
  • CGA data put the H1FY26 fiscal deficit at Rs 5,73,123 crore, representing 36.5% of the full-year Budget estimate versus 29% at the same point in FY25.
  • According to the CGA, total receipts through September reached Rs 17,30,216 crore, including Rs 12,29,370 crore in net tax revenue, Rs 4,66,076 crore in non-tax revenue, and Rs 34,770 crore in non-debt capital receipts.