Monthly Economic Review January 2015

Ministry of Finance Department of Economic Affairs Economic Division 4(3)/Ec. Dn. /2012 MONTHLY ECONOMIC REPORT JANUARY 2015 ***** HIGHLIGHTS  As per the revised (base=2011-12) series of national accounts, the growth rate of Gross Domestic Product (GDP) at constant market prices is projected to be 7.4 percent in 2014-15 (advance estimates). The growth rate of GVA at basic prices for agriculture & allied sectors, industry sector and services sector is estimated to be 1.1 per cent, 5.9 per cent and 10.6 per cent respectively in 2014-15 as compared to 3.7 per cent, 4.5 per cent and 9.1 per cent respectively in 2013-14.  Food grains (rice and wheat) stocks held by FCI and State agencies were 47.2 million tonnes as on February 1, 2015 vis-à-vis the buffer stock norm of 25.0 million tonnes as on January 1, 2015.  Overall growth in the Index of Industrial Production (IIP) was 1.7 per cent during December 2014 as compared to decline of 0.1 per cent in December 2013. During April- December, 2014-15, IIP growth was 2.1 per cent as compared to 0.1 per cent growth in the same period last year.  Eight core infrastructure industries registered 2.4 per cent growth in December 2014 as compared to growth of 4.0 per cent in December 2013. During April-December 2014- 15, these sectors grew by 4.4 per cent as compared to 4.1 per cent growth in the same period last year.  Broad money (M ) for 2014-15 (up to January 23, 2015) increased by 8.9 per cent as 3 compared to 10.8 per cent during the corresponding period of the last year. The year- on-year growth, as on January 23, 2015 was 11.2 per cent as compared to 14.5 per cent on the corresponding date in the previous year.  Exports and Imports declined by 11.2 per cent and 11.4 per cent respectively in US$ terms in January 2015 over January 2014.  Foreign Currency Assets stood at US$ 303.3 billion at end-January 2015 as compared to US$ 264.6 billion at end-January 2014.  The rupee appreciated against US dollar, Pound sterling, Euro and Japanese yen in the month of January 2015 over December 2014.  The WPI inflation for all commodities for the month of January 2015 decreased to (-) 0.4 per cent from 0.1 per cent in December 2014.  Gross tax revenue for the financial year 2014-15 (April-December), at ` 7,95,686 crore, recorded a growth of 7.0 per cent over 2013-14.  As proportion of Budget estimate, the fiscal deficit and revenue deficit during 2014-15 (April-December) was 100.2 per cent and 106.2 per cent respectively (Narendra Jena) Economic Officer jena.narendra@nic.in 1ECONOMIC GROWTH The Central Statistics Office (CSO) has recently undertaken a revision in National Accounts aggregates by shifting to the new base of 2011-12 from the earlier base of 2004-05. As per the revised base year 2011-12, the growth rate of Gross Domestic Product (GDP) at constant (2011-12) market prices is estimated at 7.4 percent in 2014-15 (advance estimates). The growth rate of Gross Value Added (GVA) at constant (2011-12) basic prices for agriculture & allied sectors, industry sector and services sector are estimated to be at 1.1 per cent, 5.9 per cent and 10.6 per cent respectively, in 2014-15 compared to 3.7 per cent, 4.4 per cent and 9.1 per cent respectively in 2013-14. The growth rate of GVA at constant basic prices for the first, second and third quarters of 2014-15 is estimated at 7.0 per cent, 7.8 per cent and 7.5 per cent respectively, compared to 7.2 per cent, 7.5 per cent and 6.6 per cent respectively during the corresponding quarters of previous year. Table 1: Growth of GVA at Basic Prices by Economic Activity (at 2011-12 Prices) (in per cent) Growth Share in GVA Sector 2012- 2013- 2014- 2012- 2013- 2014- 13 14 15 * 13 14 15* Agriculture, forestry & fishing 1.2 3.7 1.1 17.7 17.2 16.2 Industry 2.4 4.5 5.9 32.3 31.7 31.2 Mining & quarrying -0.2 5.4 2.3 3 3 2.9 Manufacturing 6.2 5.3 6.8 18.3 18.1 18 Electricity, gas ,water supply& other utility services 4.0 4.8 9.6 2.4 2.3 2.4 Construction -4.3 2.5 4.5 8.6 8.3 8 Services 8.0 9.1 10.6 50 51.1 52.6 Trade, hotels, transport, communication and 9.6 11.1 8.4 18 18.8 18.9 services related to broadcasting Financial, real estate & professional services 8.8 7.9 13.7 19.5 19.7 20.9 Public administration, defence and Other Services 4.7 7.9 9 12.5 12.6 12.8 GVA at basic prices 4.9 6.6 7.5 100.0 100.0 100.0 GDP at market prices 5.1 6.9 7.4 --- --- --- Source: CSO. *: Advance Estimates. Table 2: Quarter-wise Growth of GVA at Constant (2011-12) Basic Prices (in per cent, y-on-y) Sectors 2013-14 2014-15 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Agriculture, forestry & fishing 2.7 3.6 3.8 4.4 3.5 2.0 -0.4 Industry 4.8 4.0 5.0 4.3 6.1 6.0 3.9 Mining & quarrying 0.8 4.5 4.2 11.5 5.1 2.4 2.9 Manufacturing 7.2 3.8 5.9 4.4 6.3 5.6 4.2 Electricity, gas ,water supply& other utility services 2.8 6.5 3.9 5.9 10.1 8.7 10.1 Construction 1.5 3.5 3.8 1.2 5.1 7.2 1.7 Services 10.2 10.6 9.1 6.4 8.6 10.1 13.5 Trade, hotels, transport, communication and 10.3 11.9 12.4 9.9 9.4 8.7 7.2 services related to broadcasting Financial, real estate & professional services 7.7 11.9 5.7 5.5 11.9 13.8 15.9 Public administration, defence and Other Services 14.4 6.9 9.1 2.4 1.9 6.0 20.0 GVA at basic prices 7.2 7.5 6.6 5.3 7.0 7.8 7.5 Source: CSO. 2AGRICULTURE AND FOOD MANAGEMENT All India production of food grains: As per the 2nd advance estimates released by Ministry of Agriculture on February 18, 2015, production of total foodgrains during 2014-15 is estimated at 257.1 million tonnes compared to 265.6 million tonnes in 2013-14 (final) and 257.1 million tonnes in 2012-13 (final). Table 3: Production of Major Agricultural Crops (2nd Adv. Est.) Crops Production (in Million Tonnes) 2012-13 2013-14 2014-15 (Final) (Final) (2nd AE) Rice 105.2 106.7 103.0 Total Pulses 18.3 19.8 18.4 Total Coarse Cereals 40.0 43.3 39.8 Total Oilseeds 30.9 32.8 29.8 Sugarcane 341.2 352.1 355.0 Cotton 34.2 35.9 35.1 Total Foodgrains 257.1 265.6 257.1 Procurement: Procurement of rice as on 13.02.2015 was 20.6 million tonnes during Kharif Marketing Season 2014-15 and procurement of wheat was 28.0 million tonnes during Rabi Marketing Season 2014-15. Table 4 : Procurement in Million Tonnes Crop 2010-11 2011-12 2012-13 2013-14 2014-15 Rice 34.2 35.0 34.0 31.8 20.6* Wheat 22.5 28.3 38.2 25.1 28.0 Total 56.7 63.4 72.2 56.9 48.7 * Position as on 13.02.2015 Off-take: Off-take of rice during the month of December, 2014 was 30.4 lakh tonnes. This comprises 24.3 lakh tonnes under TPDS and 6.1 lakh tonnes under other schemes. In respect of wheat, the total off-take was 25.9 lakh tonnes comprising of 18.0 lakh tonnes under TPDS and 7.9 lakh tonnes under other schemes. Stocks: Stocks of food-grains (rice and wheat) held by FCI as on February 1, 2015 were 47.2 million tonnes, which is lower by 15.5 per cent compared to the level of 55.9 million tonnes as on February 1, 2014. 3Table 5: Off-Take and Stocks of Food Grains (Million Tonnes) Off-take Stocks 2012- 2013- 2014-15 February 1, February 1, Crops 2011-12 13 14 (Till Dec.) 2014 2015 Rice 32.1 32.6 29.2 24.6 16.9 13.6 Unmilled Paddy# 22.1 17.4 Converted Unmilled 14.8 11.7 Paddy in terms of Rice Wheat 24.3 33.2 30.6 19.0 24.2 22.0 Total (Rice & Wheat) 56.4 65.9 59.8 43.7 55.9 47.2 # Since September, 2013, FCI gives separate figures for rice and unmilled paddy lying with FCI & state agencies in terms of rice. INDUSTRIAL PRODUCTION Table 6: Percentage Change in Index of Industrial Production Industry Group April-December, April-December, December December 2013-14 2014-15 2013 2014 General index 0.1 2.1 0.1 1.7 Mining -1.5 1.7 2.6 -3.2 Manufacturing -0.4 1.2 -1.1 2.1 Electricity 5.6 10 7.5 4.8 Basic goods 1.5 6.9 3.0 2.4 Capital goods -0.4 4.8 -2.5 4.1 Intermediate goods 3.1 1.7 5.2 0.1 Consumer goods -2.9 -4.9 -4.6 0.7 Durables -12.9 -15.2 -16.4 -9.0 Non-durables 5.8 2.2 2.8 5.7 Table 7: Production Growth (Per Cent) in Core Infrastructure-Supportive Industries (Year-On-Year) April-December, April-December, December- December- Industry Group 2013-14 2014-15 2013 2014 Coal 1.5 9.1 1.1 7.5 Crude oil -0.6 -0.9 1.6 -1.4 Natural Gas -14.9 -5.1 -9.9 -3.5 Refinery Products 1.9 0.2 -1.9 6.1 Fertilizers 2.6 -1.4 4.1 -1.6 Steel 11.5 1.6 10.4 -2.4 Cement 3.7 7.9 1.2 3.8 Electricity 5.5 9.7 7.6 3.7 Overall growth 4.1 4.4 4.0 2.4 4MONEY AND BANKING Broad money (M ) for 2014-15 (up to January 23, 2015) increased by 8.9 per cent as compared to 3 10.8 per cent during the corresponding period of the last year. The year-on-year growth, as on January 23, 2015 was 11.2 per cent as compared to 14.5 per cent in the previous year. Table 8: Money Stock: Components and Sources (as on December 26, 2014) Item Outstanding as on Variation over (Per cent) (` billion) Financial Year so far Year-on-Year Mar. 31, Jan. 23 2013-14 2014-15 2014 2015 2014 2015 M3 94,973.30 103,406.10 10.8 8.9 14.5 11.2 Components Currency with the Public 12,483.40 13,504.10 7.6 8.2 10.7 10.0 Demand Deposit with 8,043.90 8,415.80 3.3 4.6 12.2 8.1 Banks Time Deposits with Banks 74,426.30 81,403.70 12.2 9.4 15.5 11.7 ‘Other’ Deposits with 19.7 82.6 –24.9 320.3 62.3 239.4 Reserve Bank Sources Net Bank Credit to Government 30,386.00 31,144.10 10.7 2.5 12.7 3.8 Reserve Bank 6,987.10 4,594.30 Other Banks 23,398.90 26,549.80 10.5 13.5 12.7 13.5 Bank Credit to Commercial 64,424.80 68,605.00 9.9 6.5 14.2 10.2 Sector Reserve Bank 88.4 58.8 Other Banks 64,336.40 68,546.20 9.8 6.5 14.2 10.2 Net Foreign Exchange Assets of 19,239.50 20,708.20 14.8 7.6 17.2 10.2 Banking Sector Government's Currency 173.4 187.4 10.9 8.1 13.5 10.1 Liabilities to the Public Banking Sector's Net Non- 19,250.40 17,238.50 11.5 –10.5 13.2 –5.6 Monetary Liabilities Net Non-Monetary Liabilities 8,433.20 7,757.20 26.1 –8.0 24.5 –11.2 of RBI Source: RBI Reserve money (M ) during the financial year 2014-15 (up to January 30 2015) 2.6 per cent 0 compared to 6.4 per cent previous year. The year-on-year variation revealed an increase by 10.3 per cent as compared to increase of 7.8 per cent in the corresponding period of the previous year. An important source of reserve money, namely, net foreign exchange assets (NFA) of the RBI (up to January 30 2015), showed an increase of 11.9 per cent compared to an increase of 14.5 per cent on the corresponding date of the last year. 5Scheduled Commercial Banks (SCBs): business in India During the current financial year 2014-15 (up to January 23, 2015), Bank credit registered increase of 6.7 per cent, as compared to 9.8 per cent during the corresponding period last year. The y-o-y variation revealed an increase of 10.7 per cent as compared to 14.4 per cent during the same period in the previous year. Table 9: Scheduled Commercial Banks - Business in India (as on January 23, 2014) Items 2014-15 Variation over (%) Outstanding as on Financial year Year-on- so far year (` billion) 2013- 2014 2013 2014 28 Mar-14 23-Jan.-14 14 -15 Bank Credit 60131 63938 9.8 6.7 14.4 10.7 Non-food credit 59146 62908 10.0 6.4 14.9 10.7 Aggregate deposits 77394 84007 11.5 9.0 15.3 11.6 Investments in Government, and other 22217 25205 10.2 13.9 12.4 14.0 approved securities Source: RBI Table 10 : Policy Rates/Interest Rates (per cent per annum) Item / Week Ended 2014 2015 January 31 January 30 Cash Reserve Ratio (per cent)(1) 4.00 4.00 Bank Rate 9.00 8.75 Repo Rate 8.00 7.75 Reverse Repo Rate 6.75 7.00 Prime Lending Rate(2) 10.00 / 10.25 10.00 / 10.25 Deposit Rate(3) 8.00 / 9.10 8.00 / 8.75 Call Money Rate (Weighted Average)(4) 8.11 7.79 (1) Cash Reserve Ratio relates to Scheduled Commercial Banks (excluding Regional Rural Banks). (2) Prime Lending Rate relates to five major Banks. (3) Deposit Rate relates to major Banks for term deposits of more than one year maturity. (4) Data cover 90-95 per cent of total transactions reported by participants. Source: RBI As on January 30, 2015, Bank Rate was 8.75 per cent as compared to 9.00 per cent in the corresponding date of last year. 6EXTERNAL SECTOR Foreign trade: Exports and Imports in US$ terms declined by 11.2 per cent and 11.4 per cent respectively in January 2015 over January 2014. Oil imports declined by 37.5 per cent and Non-Oil imports increased by 3.5 per cent during January 2015 over January 2014. Table 11: Exports and Imports (in US$ million) Item 2011-12 2012-13 2013-14 April-January (P) January (P) % Change in 2013-14 2014-15 2013 2014 January 2015 Exports 305964 300401 314405 258721 265037 26892 23884 -11.2 Imports 489320 490737 450200 375254 383411 36346 32206 -11.4 Oil 154968 164041 164765 135396 124747 13188 8248 -37.5 iNmopno-Ortisl 334352 326696 285435 239857 258664 23159 23958 3.5 imTrpaodrets balance -183356 -190336 -135794 -116532 -118374 -9455 -8322 -12.0 Source: Ministry of Commerce and Industry, P: Provisional. Table 12: Foreign Currency Assets Amount Variation ` Crore US$ million ` Crore US$ million At the end of (over last year) March, 2008 1196023 299230 359426 107306 March, 2009 1231340 241676 35317 -57554 March, 2010 1150778 254935 -80562 13259 March, 2011 1225999 274580 75221 19645 March, 2012 1333954 260742 107955 -13838 March, 2013 1418339 260775 84385 33 March, 2014 1672942 278361 254603 17586 2014-15 (over last month) April, 2014 1723905 285710 50963 7349 May, 2014 1695975 287290 -27930 1580 June, 2014 1750649 291322 54674 4032 July 2014 1781343 294504 30694 3182 August 2014 1780496 293380 -847 -1124 September 2014 1791486 290360 10990 -3020 October 2014 1800667 292719 9181 2359 November 2014 1818427 293168 17760 449 December 2014 1872293 295947 53866 2779 January 2015 1874728 303325 2435 7378 Source: RBI. Exchange rate: The rupee depreciated by 0.8 per cent against US dollar, 3.8 per cent against Pound sterling, 6.4 per cent against euro, and 0.1 per cent against Japanese yen in the month of January 2015 over December 2014. 7Table 13 : Rupee per unit of foreign currency* US dollar Pound sterling Japanese yen Euro March, 2009 51.2287 72.9041 0.5251 66.9207 March, 2010 45.4965 68.4360 0.5018 61.7653 March 2011 44.9684 72.7070 0.5498 62.9660 March, 2012 50.3213 79.6549 0.6103 66.4807 March 2013** 54.4046 82.0190 0.5744 70.5951 March 2014 61.0140 101.4083 0.5965 84.3621 2014-15 April 2014 60.3566 101.0794 0.5886 83.3495 May 2014 59.3050 99.9398 0.5828 81.4886 June 2014 59.7307 100.9836 0.5853 81.2410 July 2014 60.0586 102.6220 0.5907 81.3943 August 2014 60.8396 101.8085 0.5917 81.1423 September 2014 60.8651 99.3131 0.5677 78.6014 October 2014 61.3420 98.7168 0.5687 77.9117 November 2014 61.7042 97.2826 0.5305 76.9857 December 2014 62.7529 98.1115 0.5260 77.3691 62.2259 94.4827 0.5252 72.6894 January 2015 * FEDAI Indicative Market Rates (on monthly average basis). ** Data from March, 2013 onwards are based on RBI’s reference rate. 8External assistance and debt service payments: Gross external assistance during April-January 2015 stood at ` 26,963.6 crore as compared to ` 26,389.4 crore during the corresponding period of the previous year. Net disbursement stood at ` 6,641.8 crore during April- January 2015 as compared to ` 7,964.0 crore during April- January 2014. Table 14: External Assistance and Debt Service Payments (`crore)* January- 2014-15 up January 2013-14 up 2015 to January, 2014 to January, 2015 2014 External Assistance (Government Account) 1) Gross Disbursement 2,159.6 22,431.4 2,673.6 17,848.8 2) Repayments 1,716.2 17,020.8 1,537.8 15,115.2 3) Interest Payments 297.2 3,000.2 301.5 3,013.9 4) Net Disbursement (1-2) 443.4 5,410.6 1,135.9 2,733.6 5) Net Transfers (4-3) 146.2 2,410.4 834.4 -280.3 External Assistance (Non-Government Account) 1) Gross Disbursement 69.8 3,470.0 1,219.2 5,520.5 2) Repayments 0.0 3,301.0 145.4 3,310.2 3) Interest Payments 1.2 338.9 37.6 448.0 4) Net Disbursement (1-2) 69.8 169.0 1,073.9 2,210.3 5) Net Transfers (4-3) 68.5 -169.9 1,036.3 1,762.3 Government Grants 1) Gross Disbursement 52.4 1,030.5 255.7 2,967.3 2) Repayments 0.0 0.0 0.0 0.0 3) Interest Payments 0.0 0.0 0.0 0.0 4) Net Disbursement (1-2) 52.4 1,030.5 255.7 2,967.3 5) Net Transfers (4-3) 52.4 1,030.5 255.7 2,967.3 Non-Government Grants 1) Gross Disbursement 2.8 31.6 0.0 52.8 2) Repayments 0.0 0.0 0.0 0.0 3) Interest Payments 0.0 0.0 0.0 0.0 4) Net Disbursement (1-2) 2.8 31.6 0.0 52.8 5) Net Transfers (4-3) 2.8 31.6 0.0 52.8 Grand Total 1) Gross Disbursements 2,284.5 26,963.6 4,148.6 26,389.4 2) Repayments 1,716.2 20,321.8 1,683.1 18,425.4 3) Interest Payments 298.4 3,339.1 339.1 3,461.9 4) Net Disbursement (1-2) 568.3 6,641.8 2,465.5 7,964.0 5) Net Transfers (4-3) 269.9 3,302.6 2,126.4 4,502.1 *: Data are provisional. 9INFLATION Wholesale Price Index (WPI 2004-05=100): The headline WPI inflation decreased to -0.4 per cent in January 2015 from 0.1 per cent in the previous month. Inflation for Food articles for the month of January 2015 has increased to 8 per cent from 5.2 per cent in the previous month. Food inflation (primary food + manufactured food) has increased to 5.9 per cent from 4.1 per cent in the last month. Inflation in Fuel & power has dropped -10.7 per cent in January 2015 from -7.8 per cent in the last month. Inflation for Manufactured products moderated to 1.1 per cent in January 2015 from 1.6 per cent in the previous month. Non-food manufactured inflation (core as defined by RBI) also eased to 0.9 per cent in January 2015 from 1.6 per cent in the previous month. The average WPI inflation rate for the last 12 months (February 2014 to January 2015) was 3.4 per cent as compared to 6.1 per cent during the corresponding period in 2013-14. The build-up of inflation since March is -1.1 per cent as against 5.2 per cent in the corresponding period last year. Table 15: Current Price Situation based on Monthly WPI in January 2015 (Base: 2004-05) Items/Groups Weight Percent variation during (%) Cumulative change (%) Inflation (%) Inflation (%) Since March (Year-on-Year) (Average of last 12 months) 2014-15 2013-14 2014-15 2013-14 2014-15 2013-14 All Commodities 100.00 -1.1 5.2 -0.4 5.1 3.4 6.1 Primary articles 20.12 3.0 7.0 3.3 6.8 4.3 10.2 Food articles 14.34 7.6 9.2 8.0 8.8 6.4 13.1 Fuel and Power 14.91 -11.4 10.9 -10.7 9.8 3.1 10.0 Manufactured 64.97 0.2 2.8 1.0 3.0 3.0 3.2 Product Inflation based on Consumer Price Indices (CPIs): The all India CPI inflation (combined) increased to 5.1 per cent in from 5.0 per cent in December 2014. Inflation based on CPI-IW increased to 5.9 per cent in December 2014 from 4.1 per cent in November 2014. Inflation based on CPI-AL and CPI-RL was 6.2 and 6.5 per cent respectively in January 2015. Table 16: Year-on-Year inflation based on WPI and CPI’s (per cent) WPI CPI-IW CPI-AL CPI-RL CPI-NS Base : 2004-05 2001 1986-87 1986-87 2010 Jan-14 5.1 7.2 9.1 9.2 8.8 Feb-14 5.0 6.7 8.1 8.3 8.0 Mar-14 6.0 6.7 8.4 8.5 8.3 Apr-14 5.5 7.1 8.4 8.7 8.6 May-14 6.2 7.0 8.1 8.3 8.3 Jun-14 5.7 6.5 7.7 7.8 7.5 Jul-14 5.4 7.2 8.0 8.1 8.0 Aug-14 3.9 6.8 7.2 7.6 7.7 Sep-14 2.4 6.3 6.9 7.1 6.5 Oct-14 1.7 5.0 6.1 6.4 5.5 Nov-14 -0.2 4.1 4.6 5.0 4.4 Dec-14 0.1 5.9 5.5 5.7 5.0 Jan-15 -0.4 - 6.2 6.5 5.1 Note: WPI and CPI-NS inflation for Dec-14 & Jan-15 are provisional; Base for CPI-NS for Jan-15 is 2012. 10Inflation in WPI and CPI-NS 10.0 WPI 8.0 CPI-NS t 6.0 n e c r e 4.0 P 2.0 0.0 -2.0 Global Commodity Prices (based on the World Bank Pink Sheet data) Global year-on-year inflation was negative for all broad groups except beverages and fertilizers in December 2014. The downward movement of oil prices continues in the month of January 2015. Table 17: Year-on-year global inflation for major groups/sub-groups (%) Jan-14 Nov-14 Dec-14 Jan-15 Energy -1.6 -23.1 -39.4 -50.2 Non-energy -10.0 -4.7 -7.4 -9.6 Agriculture -8.3 -4.9 -6.3 -7.5 Beverages -0.4 24.5 16.8 12.7 Food -10.7 -7.3 -8.2 -9.1 Raw Materials -4.4 -10.7 -11.6 -12.2 Fertilizers -21.0 5.4 3.6 0.3 Metals & Minerals -12.2 -5.6 -11.2 -16.2 Precious Metals -27.5 -10.9 -4.8 -2.4 11PUBLIC FINANCE As a proportion of Budget estimate estimate, fiscal deficit and revenue deficit during 2014- 15(April-December) was 100.2 per cent and 106.2 per cent respectively. Table 18: Trends in Central Government Finances : April-December 2014-15 Budget April-December Col.3 as Col.4 as Per cent change Estimates (` Crore) per cent per cent over preceding ( ` Crore) of of year 2014-15 2013-14 2014-15 2013-14 2014-15 2013- 2014- BE BE 14 15 (1) (2) (3) (4) (5) (6) (7) (8) 1.Revenue Receipts 1189763 633933 693773 60.0 58.3 11.1 9.4 Gross tax revenue* 1364524 743709 795686 60.2 58.3 9.2 7.0 Tax (net to Centre) 977258 517661 545714 58.6 55.8 6.9 5.4 Non Tax Revenue 212505 116272 148059 67.5 69.7 34.6 27.3 2.Capital Receipts 605129 529858 542615 87.0 89.7 26.0 2.4 of which Recovery of loans 10527 8038 8282 75.4 78.7 4.3 3.0 Other Receipts 63425 5430 1952 9.7 3.1 -33.6 -64.1 Borrowings and other 531177 516390 532381 95.2 100.2 27.6 3.1 liabilities 3.Total Receipts (1+2) 1794892 1163791 1236388 69.9 68.9 17.4 6.2 4.Non-Plan 1219892 812528 883757 73.2 72.4 16.9 8.8 Expenditure (a)+(b) (a) Revenue Account 1114609 731159 813270 73.6 73.0 16.9 11.2 of which: Interest payments 427011 248464 275220 67.0 64.5 23.0 10.8 Major Subsidies 251397 188899 212418 85.5 84.5 13.2 12.5 Pensions 81983 53890 68104 76.2 83.1 20.2 26.4 (b) Capital Account 105283 81369 70487 69.5 67.0 16.9 -13.4 5.Plan Expenditure (i)+(ii) 575000 351263 352631 63.3 61.3 18.7 0.4 (i) Revenue Account 453503 274016 282278 61.8 62.2 12.8 3 (ii) Capital Account 121497 77247 70353 68.9 57.9 46.0 -8.9 6.Total Expenditure 1794892 1163791 1236388 69.9 68.9 17.4 6.2 (4)+(5) (a)Revenue Expenditure 1568112 1005175 1095548 70.0 69.9 15.7 9.0 (b)Of which Grants for 168104 96059 97863 55.0 58.2 29.3 1.9 creation of Capital Assets (c)Capital Expenditure 226780 158616 140840 69.2 62.1 29.4 -11.2 7.Revenue Deficit 378349 371242 401775 97.7 106.2 24.6 8.2 8.Effective Revenue 210245 275183 303912 134.1 144.6 23 10.4 Deficit (7-6(b)) 9.Fiscal Deficit 531177 516390 532381 95.2 100.2 27.6 3.1 10.Primary Deficit 104166 267926 257161 155.9 246.9 32.2 -4.0 Source: Controller General of Accounts. * Gross Tax Revenue is prior to devolution to the States. 12