India’s fiscal deficit stood at INR 0.13 trillion in April-May 2025–26, down from INR 0.51 trillion in the same period a year earlier, representing 0.8% of the government’s full-year target compared to 3.1% last year. Total receipts jumped 28.0% year-on-year to INR 7.33 trillion, or 21.0% of the annual goal, with net tax revenues accounting for INR 3.51 trillion. Meanwhile, total expenditure rose 19.7% to INR 7.46 trillion, or 14.7% of the full-year target. Capital spending - largely directed toward infrastructure - reached 19.7% of its yearly objective. The government aims to narrow the fiscal deficit to 4.4% of GDP in FY2025–26, down from 4.8% in the previous fiscal year.