Economic Survey: Strong rebound in revenues ensures enough fiscal space

The strong revival in government revenues means the government has enough fiscal space to provide additional support to boost growth momentum, the Economic Survey said

The strong revival in government revenues means the government has enough fiscal space to provide additional support in the form of higher capital expenditure allocation to boost growth momentum, the Economic Survey said on Monday.

“The fiscal support given to the economy as well as to the health response caused the fiscal deficit and government debt to rise in 2020-21. However, a strong rebound in government revenues in 2021-22 has meant that the Centre will comfortably meet its targets for the year while maintaining the support, and ramping up capital expenditure. The strong revival in revenues (revenue receipts were up over