A revenue deficit is when expenditure on recurring items such as salaries, pensions, subsidies, and interest payments exceed the revenue earned from regular sources such as taxes and fees. (Representational image) | Photo Credit: Getty Images/iStockphoto The Ministry of Finance has warned that States with revenue deficits and high debt burdens will find it harder to deal with fiscal shocks, including from the current crisis, leading to them either reprioritising expenditure away from productive areas, or approaching the Centre for more funds at a time when it is trying to consolidate its own finances. In its Monthly Economic Review (MER) for April 2026, the Department of Economic Affairs in the Ministry of Finance, said that nine of the 18 large States it has analysed were in revenue deficit as per their own projections for 2026-27. Seven States are projected to be revenue surplus, while one is in revenue balance. Published – April 30, 2026 01:30 pm IST Share this: Click to share on WhatsApp (Opens in new window) WhatsApp Click to share on Facebook (Opens in new window) Facebook Click to share on Threads (Opens in new window) Threads Click to share on X (Opens in new window) X Click to share on Telegram (Opens in new window) Telegram Click to share on LinkedIn (Opens in new window) LinkedIn Click to share on Pinterest (Opens in new window) Pinterest Click to email a link to a friend (Opens in new window) Email More Click to print (Opens in new window) Print Click to share on Reddit (Opens in new window) Reddit Click to share on Tumblr (Opens in new window) Tumblr Click to share on Pocket (Opens in new window) Pocket Click to share on Mastodon (Opens in new window) Mastodon Click to share on Nextdoor (Opens in new window) Nextdoor Click to share on Bluesky (Opens in new window) Bluesky Like this:Like Loading... Post navigation The Hindu The second phase of West Bengal Elections Kerala munsiff suspended over ‘fake’ medical reimbursement claims