India Reduces Borrowing Target for Fiscal Year 2025-26

In a strategic financial maneuver, the central government has announced a borrowing plan of Rs 6.77 lakh crore for the latter half of the fiscal year 2025-26. This move effectively trims the total borrowing target for the current financial year by Rs 10,000 crore.

Originally outlined in the 2025-26 Budget, the government's gross borrowing figure was set at Rs 14.82 lakh crore. Revising these estimates, the government now plans to conclude the year with a gross borrowing of Rs 14.72 lakh crore.

Economic Affairs Secretary Anuradha Thakur emphasized the administration's dedication to aligning expenditures with the fiscal deficit target, aiming to reduce the deficit to 4.4% of GDP by FY26.

(With inputs from agencies.)