Revenue deficit now 99% of target

New Delhi, Mar 30 | Updated: Mar 31 2007, 05:30am hrs
The government has achieved about 99% of its set target with the countrys revenue deficit standing at Rs 82,411 crore till February this year.

According to official statistics, the revenue deficit for 2006-07 is estimated at Rs 83,436 crore. The government, in the previous fiscal, achieved 107% of the set target, the statement said.

Fiscal deficit during the 11-month period of the current fiscal stood at Rs 1.21 lakh crore, which is 80% of the target for 2006-07. However, in the corresponding period of the previous year, the government was able to achieve 90.5% of the set target. The fiscal deficit for the entire fiscal is estimated at Rs 1.52 lakh crore.

The data suggests that fiscal deficit has been primarily financed by external borrowings and domestic markets.

Meanwhile, finance minister P Chidambaram, while presenting Union Budget 2007-08, set a fiscal deficit target of 3.3% of the GDP for 2007-08 against 3.7% of the GDP in 2006-07. The revenue deficit target has been set at 1.5% of the GDP for the next fiscal while it is expected to clock 2% for the current fiscal.