Revenue Expenditure Growth Remains Restrained: Economic Survey 2023 -24

The Economic Survey 2023-24, presented by Finance Minister Nirmala Sitharaman, highlights restrained growth in revenue expenditure with FY24 spending being ₹60.6 thousand crore below budgeted estimates. Despite this, allocations to critical sectors like rural development and education exceed expectations. Lower borrowing costs have reduced budgeted interest payments, which still make up 30.4% of revenue expenditure. The survey underscores the importance of fiscal consolidation, asset monetisation, and privatisation in managing interest payments and creating fiscal space. Additionally, state governments improved spending quality by focusing on capital expenditure, and subsidies saw a significant decline.