Government's finances have shown improvement in July with fiscal deficit at 86.5 per cent of the Budget Estimate (BE), mainly on account of higher revenue collection, as per an official data.
The deficit was at 92.4 per cent of BE at July-end of the last financial year.
In actual terms, the fiscal deficit or gap between the total expenditure and receipts was Rs 5.4 lakh crore in the first four months of 2018-19 financial year.
The Government has budgeted to cut fiscal deficit to 3.3 per cent of GDP in 2018-19 from 3.53 per cent in the previous year.
The fiscal deficit target for 2018-19 is Rs 6.24 lakh crore.
As per the data released by the Controller General of Accounts (CGA), the tax collection (net) at end-July was Rs 2.92 lakh crore.