India’s central government fiscal deficit reaches ₹7.1 lakh crore by August 2026

The Economic Times reports official data put the Centre’s April–August 2026 fiscal deficit at ₹7.1 lakh crore, versus ₹6 lakh crore a year earlier. The gap reached 41.9% of the FY27 target amid higher capital spending and subsidy outlays. Spending on major subsidies rose 24.6% year on year to ₹1.87 lakh crore. ICRA estimates the full-year deficit could exceed the budget estimate by ₹1.3–1.4 lakh crore, though it says expenditure savings could offset the overrun.