The Revenue Deficit of the State Government was Rs 25,870 crore during the year 2021-22.
States have also taken into account fiscal implications of the end of GST compensation regime in the budget estimates of 2022-23, according to the NIPFP paper.
The grants are released as per the recommendations of the 15th Finance Commission in monthly instalments to meet the gap in revenue accounts of the states post-devolution. The commission has recommended this grant to the 17 states during 2021-22.
"So far an amount of Rs 32,657 crore as devolution of taxes, and Rs 11,433 crore as 14th Finance Commission grants have been released to eight north-eastern states," Finance Ministry said in a statement.
As a result of sound prudent policies formulated during 2015-16, the fiscal deficit at the end of November is Rs 4.83 lakh crore or 87 percent of the Budget Estimate for this fiscal.
Total spending during this period stood at at Rs 10.22 lakh crore, 57.5 percent of FY16 estimate, and net tax receipts for the period stood at Rs 4.29 lakh crore. Non-plan spend was Rs 7.51 lakh crore, 57.2 percent of FY16 estimate, and Plan spend was Rs 2.71 lakh crore, 58.2 percent of FY16 estimate
Speaking at a Network18 Event - Modi Sarkar - Year One Dialogues, Railway Minister Suresh Prabhu says in the one-year since the Modi government took charge,"we have been working towards removing growth roadblocks."
Bettering its own financial targets, the government has contained the fiscal deficit at 4 percent of GDP for 2014-15 at Rs 5,01,880 crore.
The revenue deficit, fiscal deficit and primary deficit which stood at Rs 576 crore, Rs 297 crore and Rs 609 crore, respectively, in 2012-13, increased to Rs 1,614 crore, Rs 4,011 crore and Rs 1,530 crore, respectively, in 2013-14, the CAG said in its report.
A revenue deficit happens when the net amount received (that is revenues less expenditures)
Mowat said things are improving on the macro front, but in absolute terms, the pace is still not satisfying.
The reason why Chidambaram is making a song-and-dance about the fiscal deficit and his red line is simple: it is intended to take our attention away from the revenue deficit, which is the real number to monitor.