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India Subsidy Allocation Analysis 2020-21

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 — 2020-21

26.54 lakh crore

Rs 26.54 lakh crore

Previous Year (2019-20)

23.51 lakh crore

Year-over-Year Change

+12.9%

Subsidy Allocation — 5-Year Trend

Yeartotal Rev Expendituretotal Expenditure
2016-17Rs 16.91 lakh croreRs 19.75 lakh crore
2017-18Rs 18.79 lakh croreRs 21.42 lakh crore
2018-19Rs 20.07 lakh croreRs 23.15 lakh crore
2019-20Rs 23.51 lakh croreRs 26.86 lakh crore
2020-21Rs 26.54 lakh croreRs 31.54 lakh crore

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

Budget Snapshot — 2020-21

Total Expenditure

31.54 lakh crore

Total Receipts

32.77 lakh crore

Capital Expenditure

5.05 lakh crore

Tax Revenue

13.64 lakh crore

Fiscal Deficit

9.2% of GDP

Interest Payments

7.06 lakh crore

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