Budget 2014: Government May Hike Plan Outlay By Around Rs 11,000 Crore
The fiscal deficit, the gap between government's expenditure and revenue, in actual terms was at Rs 5.08 lakh crore as against Rs 5.24 lakh crore projected in the revised estimates.
The lower fiscal deficit reduces the government's expenditure on interest payment.
The UPA government had cut the total Plan expenditure to Rs 4,75,532 crore for 2013-14 compared to the budget estimates of the Rs 5,55,322 crore, for keeping a tab on the fiscal deficit. It was for second year in a row that the previous government cut Plan spending substantially to keep fiscal deficit under control.
After assuming office in 2004, the UPA government in its regular budget had pegged the total Plan expenditure at Rs 1,45,590 crore, as compared to Rs 1,35,071 crore provided in the interim budget for 2004-05 by previous NDA government.
Similarly, this time the Plan expenditure would be a little higher over Rs 5,55,322 crore provided in the interim budget for the 2014-15 by the previous government.