Till May 31, the fiscal deficit totalled Rs 22,011 crore as against the budgeted amount of Rs 79,955 crore for the whole year. During 1998-99, the government exhausted only 25.7 per cent of the total amount during the first two months.

The revenue deficit during April-May 1999 amounted to Rs 17,498 crore which works out to 32.3 per cent of Rs 54,147 crore budgeted for the fiscal.

The government has planned a primary surplus of Rs 8,045 crore during the current fiscal to set public finances on an even keel. However, during the first two months it has run a primary deficit of Rs 9,946 crore. In 1998-99 the finance ministry targeted a primary deficit of Rs 16,025 crore but ended up with a deficit of Rs 33,721 crore.

The Kargil conflict and the forthcoming general elections, though not taken into accountcurrently, will have a telling impact on public finances during 1999-2000.

The performance on the revenue front too is lagging. Revenue receipts totalled Rs 11,661 crore during April-May 1999. This works out to 6.4 per cent of the budget estimates. The previous corresponding figures reveal that the collection was 8.2 per cent of the total. However, with the buoyancy being witnessed in the industrial sector it might be possible for the revenue department to make up in the later months and achieve the collection target set in the budget.

The revenue deficit during the the first two months was Rs 17,498 crore, amounting to 32.3 per cent of the budget estimates. During the corresponding period last year revenue deficit was 28.8 per cent of the total. The government, however, has been able to keep the expenditure under control. The compression, unfortunately, was more severe in case of Plan expenditure.

The set of figures of public finances for April-May 1999 reveals that non-Plan expenditure during the twomonths worked out to Rs 26,306 crore which was 12.7 per cent of the budget estimates. The comparative figures for last year point out that non-Plan expenditure during the two months was 14.6 per cent.

This, however, will provide only cold comfort to the North Block mandarins as the cost of Kargil conflict and election expenses is yet to be taken into account.

On the Plan side, the government has been able to keep an effective check on expenditure. The total during the April-May 1999 works out to Rs 7,961 crore which is 10.3 per cent of the budget estimate. The corresponding figure last year was 11.5 per cent.

The total expenditure was Rs 34,267 crore which was 12.1 per cent of the budgeted amount as against 13.8 per cent during the previous corresponding period.