New Delhi, Oct. 1 -- India's fiscal deficit-the gap between government expenditure and receipts-widened in the first five months of this financial year (FY27) as capital spending and outlays on major subsidies such as food and fertiliser increased. According to the latest monthly accounts released by the Controller General of Accounts (CGA) on Wednesday, the fiscal deficit stood at Rs.7.10 lakh crore, or 41.9% of the full-year budget estimate, during April-August of FY27. This deficit was 38.1% of the annual target in the corresponding period of the previous year. At the end of July, it stood at 26.8% of the annual target. The Centre has budgeted a fiscal deficit of Rs.16.96 lakh crore, or 4.3% of GDP, for FY27. It is relying on robust tax collections and higher non-tax revenues in the coming months to meet this target. The fiscal deficit is typically financed through borrowings. The widening fiscal gap in August assumes significance as the government has cut its FY27 market borrowing by nearly Rs.1.2 lakh crore and now plans to raise Rs.7.86 lakh crore through dated government securities in the second half of the fiscal year. The Centre now expects to borrow Rs.15.995 lakh crore through dated securities during FY27, compared with Rs.17.2 lakh crore estimated in the Union budget, according to the finance ministry's borrowing plan released in consultation with the Reserve Bank of India (RBI) on 25 September. The latest data showed the fiscal deficit widened in the first five months of FY27 as government spending continued to gather pace, particularly on capital expenditure. Total expenditure reached Rs.20.78 lakh crore by August, equivalent to 38.9% of the full-year budget estimate, while total receipts stood at Rs.13.68 lakh crore, or 37.5% of the annual estimate. These receipts include Rs.8.38 lakh crore in tax revenue (net to Centre), Rs.4.55 lakh crore in non-tax revenue, and Rs.75,239 crore under non-debt capital receipts. In percentage terms, revenue receipts stood at 36.6% of the budget estimate by August. Net tax revenue stood at 29.2% of the annual budget estimate of Rs.28.67 lakh crore, while non-tax revenue reached 68.2% of the Rs.6.66 lakh crore budgeted for the year. According to the data, the Centre also received Rs.75,239 crore through non-debt capital receipts, comprising Rs.13,091 crore in loan recoveries and Rs.62,148 crore under other receipts. Non-debt capital receipts were 63.5% of the Rs.1.18 lakh crore budget estimate. The government had budgeted Rs.36.52 lakh crore in total receipts for FY27, including revenue receipts and non-debt capital receipts. The capex is progressing broadly in line with the fiscal-deficit trajectory as the government's capital expenditure stood at Rs.5.10 lakh crore, or 41.7% of the full-year budget estimate of Rs.12.22 lakh crore, at the end of August, compared with 38.5% in the year-ago period. This indicates that the Centre has already executed a substantial part of its planned capital spending in the first five months, rather than fiscal deterioration being driven only by revenue expenditure....