India continues to remain a bright spot in world economy with robust macro-economic and fiscal parameters;

Together with GDP growth of 7.9% in Q 4 of 2015-16 and 7.6% in the whole of 2015-16

The Provisional Accounts for 2015-16 have been released by the Government today (31.5.2016). Fiscal Deficit in 2015-16 stands at 3.9% of GDP as estimated both in BE and RE of 2015-16. This is a significant improvement over the Fiscal Deficit of 4.1% in 2014-15 and 4.7% in 2013-14.

Revenue Deficit has also shown significant improvement due to increase in Capital Expenditure of the Central Government. Revenue Deficit which stood at 3.2% of GDP in 2013-14 has improved to 2.9% in 2014-15 and 2.5% in 2015-16. The Capital expenditure has increased substantially to ₹ 2,35,253 crore in 2015-16 which is an increase of ₹ 38,572 crore over 2014-15 and ₹ 47,578 crore over 2013-14.

Similarly, the Plan Expenditure in 2015-16 is ₹ 4,71,081 crores which is higher by ₹ 8437 crores over the previous year despite substantial increase in share of tax devolution to the States.

The Gross tax collection at ₹ 14,56,887 crore has shown 17% growth as compared to Fiscal 2014-15. The Gross tax collection has improved to 10.74% of GDP (tax-GDP ratio) in 2015-16 as compared to 10.06% in 2013-14. The devolution of tax collections to State Governments in 2015-16 is Rs..5,06,193 crore, which shows an increase of ₹ 1,68,385 crore over the devolution of ₹ 3,37,808 crore in 2014-15. In 2013-14 the tax share devolution to the States was ₹ 3,18,230 crore.

Non Tax Receipts are ₹ 2,50,744 crore this year as compared to Rs..1,97,766 crore last year and ₹ 1,98,865 crore in 2013-14.

The above highlights clearly indicate that the fiscal parameters are very robust and in line with the Budget projections. Together with GDP growth of 7.9% in Q 4 of 2015-16 and 7.6% in the whole of 2015-16, India continues to remain a bright spot in world economy with robust macro economic and fiscal parameters.