FX.co ★ India Budget Deficit Widens

In the first four months of the 2026 fiscal year, the Indian government reported a budget deficit of INR 4.68 trillion. This represents a significant increase from the INR 2.77 trillion deficit noted in the same period the previous year. This ongoing trend reflects a deterioration in India's fiscal landscape, partly driven by economic growth concerns and the looming possibility of strict sanctions by the United States. As a response, the Indian government has boosted economic support measures. During this period, government expenditure reached INR 15.6 trillion, a notable rise from the INR 13 trillion spent the year before. Meanwhile, net tax receipts totaled INR 6 trillion, with non-tax receipts amounting to INR 4 trillion.