India Subsidy Allocation Analysis 2026-27
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 — 2026-27
41.25 lakh crore
Rs 41.25 lakh crore
Previous Year (2025-26)
38.75 lakh crore
Year-over-Year Change
+6.5%
Subsidy Allocation — 5-Year Trend
| Year | total Rev Expenditure | total Expenditure |
|---|---|---|
| 2022-23 | Rs 29.08 lakh crore | Rs 37.59 lakh crore |
| 2023-24 | Rs 32.81 lakh crore | Rs 43.15 lakh crore |
| 2024-25 | Rs 35.65 lakh crore | Rs 46.33 lakh crore |
| 2025-26 | Rs 38.75 lakh crore | Rs 49.63 lakh crore |
| 2026-27 | Rs 41.25 lakh crore | Rs 53.47 lakh crore |
Source: Union Budget Documents, Ministry of Finance. Figures may include BE/RE/Actuals depending on availability.
Budget Snapshot — 2026-27
Total Expenditure
53.47 lakh crore
Total Receipts
53.47 lakh crore
Capital Expenditure
12.22 lakh crore
Tax Revenue
28.67 lakh crore
Fiscal Deficit
4.3% of GDP
Interest Payments
14.04 lakh crore