Work out fiscal deficit percentage instantly with clear inputs, formula shown and shareable results.
Fiscal deficit is total expenditure less revenue receipts and non-debt capital receipts — in other words, the government's total borrowing requirement. Expressing it against GDP is the standard measure because it indicates the sustainability of that borrowing.
Fiscal deficit
Fiscal deficit = Total expenditure - Revenue receipts - Non-debt capital receipts
As % of GDP
Ratio % = Fiscal deficit / GDP x 100
Indicative estimate only. Fees, entitlements, limits and formulas vary by jurisdiction, statute, policy wording and the facts of the case. This is not legal, tax, insurance or financial advice — confirm with a qualified professional or the relevant authority.
Revenue deficit covers only current spending against current receipts. Fiscal deficit includes capital spending, so borrowing for investment shows up there.
It is a fiscal rule convention: at nominal growth of around 5-6%, a 3% deficit roughly stabilises the debt-to-GDP ratio.