Lok Sabha approves additional spending of Rs 2.01 lakh crore for FY 2025-26

The Lok Sabha on Friday approved the second batch of supplementary demands for grants, allowing the government to spend an additional Rs 2.01 lakh crore in the current financial year. Finance Minister Nirmala Sitharaman told the House that despite the extra spending, the fiscal deficit will remain within the Revised Estimates for 2025-26.

The government had sought approval to spend a gross additional amount of Rs 2.81 lakh crore. However, with estimated additional receipts of Rs 80,000 crore during the current fiscal year, the net additional cash spending stands at Rs 2.01 lakh crore.

The supplementary demands were passed through a voice vote in the Lok Sabha amid disruptions. Opposition members protested over the availability of LPG in the country in the backdrop of the ongoing West Asia crisis. Soon after the passage of the demands, the House was adjourned for the day.


In her reply to the debate, Sitharaman said the new spending will not push the fiscal deficit beyond the government’s target. “There is no increase in expenditure beyond the BE of 2025-26 due to the second supplementary,” she said during the discussion while opposition members raised slogans over LPG shortage concerns.

According to the Revised Estimates for 2025-26, the fiscal deficit remains unchanged at 4.4 per cent of GDP, the same level projected in the Budget Estimates.

The government has also reduced its total expenditure estimate for the current fiscal year to Rs 49.65 lakh crore in the Revised Estimates, down from Rs 50.65 lakh crore projected in the Budget Estimates.

Data from the Controller General of Accounts shows that the government had spent Rs 36.90 lakh crore till January of the current financial year.