Match the following key deficit indicators with their respective values in percentage of GDP for the Financial Year 2025-26 as pe…

Economy ·Previously asked in JKPSC Combined Competitive Examination (JKCCE) 2025

View the full solved paper: GS Paper I (Set B)

Question

Match the following key deficit indicators with their respective values in percentage of GDP for the Financial Year 2025-26 as per the Union Budget:

i. Primary Deficit — a. 0.3 percent

ii. Effective Revenue Deficit — b. 4.4 percent

iii. Revenue Deficit — c. 0.8 percent

iv. Fiscal Deficit — d. 1.5 percent

Choose the correct answer:

  1. A. i-c, ii-a, iii-d, iv-b (Correct answer)
  2. B. i-a, ii-b, iii-c, iv-d
  3. C. i-b, ii-d, iii-a, iv-c
  4. D. i-d, ii-c, iii-b, iv-a

Correct Answer

Option A — i-c, ii-a, iii-d, iv-b

Detailed Solution & Explanation

The correct answer is i-c, ii-a, iii-d, iv-b.

Key Points

  • As per Union Budget 2025-26 (% of GDP): Fiscal Deficit = 4.4% (iv-b), Revenue Deficit = 1.5% (iii-d), Effective Revenue Deficit = 0.3% (ii-a), Primary Deficit = 0.8% (i-c).
  • Primary Deficit = Fiscal Deficit minus interest payments, so it is the smallest.