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India Subsidy Allocation Analysis 2004-05

Government subsidies on food, fertiliser, and fuel form a significant portion of revenue expenditure. Subsidy reform — through direct benefit transfer (DBT) and targeting — is central to India's fiscal consolidation strategy.

Subsidy Allocation — 2004-05

3.82 lakh crore

Rs 3.82 lakh crore

Previous Year (2003-04)

3.62 lakh crore

Year-over-Year Change

+5.5%

Subsidy Allocation — 5-Year Trend

Yeartotal Rev Expendituretotal Expenditure
2000-01Rs 2.78 lakh croreRs 3.26 lakh crore
2001-02Rs 3.01 lakh croreRs 3.62 lakh crore
2002-03Rs 3.39 lakh croreRs 4.13 lakh crore
2003-04Rs 3.62 lakh croreRs 4.71 lakh crore
2004-05Rs 3.82 lakh croreRs 4.98 lakh crore

Source: Union Budget Documents, Ministry of Finance. Figures may include BE/RE/Actuals depending on availability.

Budget Snapshot — 2004-05

Total Expenditure

4.98 lakh crore

Total Receipts

5.05 lakh crore

Capital Expenditure

1.14 lakh crore

Tax Revenue

2.31 lakh crore

Fiscal Deficit

3.9% of GDP

Interest Payments

1.27 lakh crore

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