New Delhi, February 11 Finance Minister Nirmala Sitharaman said on Wednesday that the government has planned a total expenditure of ₹53.47 lakh crore for the next financial year, which is 7.7 per cent higher than the current fiscal ending March 31.
According to the revised estimate, the budget for the current fiscal is ₹49.64 lakh crore, lower than the ₹50.65 lakh crore estimated in February 2025. The budget for the 2024-25 fiscal was at ₹46.52 lakh crore.
She said that the total expenditure is estimated at ₹53.47 lakh crore in the next fiscal, which is significantly higher than tax receipts, in response to a discussion on the Union Budget in the Lok Sabha.
The government aims for tax receipts of ₹44.04 lakh crore, which is 8 per cent higher than the previous year.
Speaking about capital expenditure, she said that the government has allocated the highest-ever amount of ₹12.2 lakh crore, which is 4.4 per cent of the GDP.
Besides, she said that the government is adhering to fiscal discipline and has projected the fiscal deficit at 4.3 per cent of the GDP or ₹16.95 lakh crore for FY27.
To finance the fiscal deficit, net market borrowings from dated securities are estimated at ₹11.7 lakh crore. The remaining financing is expected to come from small savings and other sources. Gross market borrowings are estimated at ₹17.2 lakh crore.
She further said that the focus on reducing the debt-to-GDP ratio is part of the Fiscal Responsibility and Budget Management (FRBM) framework.
To strive towards accepted standards of fiscal management, in Budget 2025-26, she had indicated that the central government would target reaching a debt-to-GDP ratio of 50±1 per cent by 2030-31.
In line with this, the debt-to-GDP ratio is estimated to be 55.6 per cent of GDP in BE 2026-27, compared to 56.1 per cent of GDP in RE 2025-26.
A declining debt-to-GDP ratio will gradually free up resources for priority sector expenditure by reducing the outflow on interest payments.
Debunking claims of a shortage of fertilizers in the country, she said, there is enough for farmers, and the government has made a budgetary allocation of ₹1.71 lakh crore for its import to support farmers.
Sitharaman also gave a point-by-point rebuttal to Leader of Opposition Rahul Gandhi's claims that India has succumbed to US pressure while signing the interim trade agreement with Washington.
Echoing sentiments of Union Minister Kiren Rijiju, the Finance Minister said, "No one has the audacity to sell or buy out India."
She said that it was actually the Congress-led UPA government which surrendered before the World Trade Organization and sold off the country's assets. In her response, she also targeted the TMC government in West Bengal, saying that it is violence, not the law, that prevails in the state.
Lamenting the poor law and order situation in the state, she said that West Bengal Chief Minister Mamata Banerjee, instead of improving the situation, is asking women to stay indoors at night.
West Bengal will go to elections in the next two months.
