CUET Preparation Today
Which of the following represents the borrowing requirements of the government for the purposes other than interest payments? |
Revenue deficit. Fiscal deficit. Primary Deficit. Budgetary deficit. |
Primary Deficit. |
The correct answer is Option (3) → Primary Deficit. The Primary Deficit represents the borrowing requirements of the government excluding interest payments on previous loans. It is calculated as: Primary Deficit=Fiscal Deficit−Interest Payments |
