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FM Sitharaman Vows Fiscal Deficit Target On Track, Assures No Fertiliser Shortage

Finance Minister Nirmala Sitharaman has assured Parliament that all supplementary spending will remain within the government's fiscal deficit target for the financial year. She reiterated the commitment to a fiscal deficit of 4.3% of GDP for 2026-27, continuing the path of fiscal consolidation. The minister also guaranteed that there would be no shortage of fertilisers for farmers, with adequate provisions already made. Furthermore, she highlighted the role of the Economic Stabilisation Fund, allocated over Rs 57,000 crore, to provide fiscal headroom against global economic challenges.

Key Points: Fiscal Deficit Target On Track, Says FM Sitharaman

  • Fiscal deficit target of 4.3% for FY27
  • Supplementary grants of Rs 2.81 lakh crore
  • Assurances within Budget framework
  • No shortage of fertilisers for farmers
  • Economic Stabilisation Fund gets Rs 57,381 crore
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Govt to keep fiscal deficit within revised estimates, no shortage of fertilisers: FM Sitharaman

Finance Minister Nirmala Sitharaman assures Parliament that supplementary spending will stay within the FY26 fiscal deficit target and guarantees no fertiliser shortage.

"I wish to reiterate that with all the additional provisions... I will be able to achieve the fiscal deficit target - Nirmala Sitharaman"

New Delhi, March 13

The government remains committed to keeping the fiscal deficit within the revised estimates for FY26, even as it brings in the second batch of supplementary demands for grants, Finance Minister Nirmala Sitharaman said on Friday.

Replying to the debate in the Lok Sabha on the Supplementary Demands for Grants (Second Batch) for 2025-26, the Finance Minister said the additional spending proposals would remain within the fiscal deficit target presented in the Union Budget 2026-27.

"I wish to reiterate that with all the additional provisions we are bringing through technical and cash supplementary demands, no Member of Parliament should wonder whether I will be able to achieve the fiscal deficit target set while presenting the Budget in this House," she told the house.

The Budget for 2026-27 clearly states the fiscal deficit target for the year ending March 31, 2027. The fiscal deficit in 2026-27 is targeted at 4.3 per cent of GDP, lower than the revised estimate of 4.4 per cent of GDP in 2025-26, continuing the government's fiscal consolidation path towards a lower deficit target in subsequent years.

FM Sitharaman further stated that "I would like to reiterate that the assurances given in this House, including those related to the second Supplementary Demands for Grants, will remain within the fiscal deficit target that was presented in Parliament on February 1, 2026".

The Supplementary Demands entail a gross expenditure of Rs 2.81 lakh crore, with 61 grant requests under it. Sitharaman reiterated that the supplementary demands are within the fiscal deficit number mentioned in the Budget.

She said there will be no shortage of fertilisers for farmers, and adequate provisions have already been made. "The Economic Stabilisation Fund will give fiscal headroom to allow India to respond to global headwinds," she said, adding that Rs 57,381.84 crore has been allocated for the Fund.

- IANS

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Reader Comments

S
Sarah B
The numbers sound promising, but I hope this fiscal consolidation doesn't come at the cost of essential social sector spending. We need to see the details of where these supplementary grants are going. Transparency is key.
A
Ananya R
As someone from a farming family, the assurance on fertilizer supply is a huge relief. Last season there were so many delays and shortages. If the FM's promise holds true, it will be a big help for the upcoming kharif season. 🙏
V
Vikram M
Fiscal deficit target of 4.3% is ambitious given global uncertainties. The Economic Stabilisation Fund is a smart move to create a buffer. Hope the execution matches the planning. The market will react positively to this commitment.
P
Priya S
Respectfully, while the targets are good, the ground reality for middle-class families is still rising costs. Fiscal discipline is one thing, but we need to feel the benefits in our daily lives—lower prices, more jobs. The proof will be in the pudding.
K
Karthik V
The commitment is clear, which is good for investor confidence. However, Rs 2.81 lakh crore in supplementary demands is still a huge amount. Hope every rupee is accounted for and spent efficiently on infrastructure and development projects.

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