India seeks parliament's nod for Rs 1.32 lakh crore in extra spending for this fiscal year

The India government has sought parliament's approval on Monday for 1.32 lakh crore rupees ($14.61 billion) in extra spending for the fiscal year ending on March 31, 2026, Reuters reported citing official documents.


The government asked parliament to approve net additional spending of ₹4,14,55 crore ($4.62 billion) for the financial year. The request includes more funds for defence purchases and for subsidies on fertiliser and cooking gas.


In a statement on the first set of supplementary spending requests, Finance Minister Nirmala Sitharaman said the central government has proposed ₹4,103 crore for defence to meet procurement needs and pay for higher capital costs.

The government has also asked for ₹12,500 crore to compensate state-run oil marketing companies for losses on selling cooking gas, and ₹11,000 crore in extra fertiliser subsidy for both local and imported phosphatic and potassic fertilisers.

The total net cash outgo includes ₹7,525 crore to meet the higher cost of imported urea.

These additional requests come on top of the government’s budgeted spending of ₹50.65 lakh crore for this financial year.

The supplementary spending requests will now be reviewed by parliamentary committees before being put to a vote in both houses. Approval is usually routine because the ruling party has a majority.

The winter session of the parliament commenced on December 1. Along with the key Atomic Energy Bill, 2025, which aims to set rules for the use and regulation of atomic energy in India, the government has listed the Higher Education Commission of India Bill and eight other draft laws for the session. Parliament will meet for 15 sittings to take up these proposals.

India’s fiscal deficit for April to October, the first seven months of this financial year, stood at ₹8.25 lakh crore. This is 52.6% of the full-year estimate and higher than the 46.5% recorded a year earlier. The government plans to reduce the deficit to 4.4% of GDP this year, compared with 4.8% in the previous year.