Image Source: Agencies

Aug 13, 2025: In its report that was presented to Parliament on Tuesday, the Comptroller and Auditor General of India (CAG) noted that Rs 2.40 lakh crore collected for four distinct reserve funds was not utilized between FY19 and FY23. The CAG report said of the collected Rs 2.41 lakh crore, only an amount of Rs 344 crore was transferred to the intended accounts.

The reserve funds are part of the Public Account of India and are set aside for specific purposes. After being approved by Parliament, these funds are typically collected through cess or levy, credited into the Consolidated Fund of India, and then transferred to the specified reserve fund.

In addition, the amount of outstanding loans and advances reached Rs 8.69 lakh crore, with overdue principal and interest of Rs 74,241 crore. In addition, the government was unsuccessful in recovering dividends of Rs 669.13 crore and guarantee fees of Rs 113.57 crore from 16 organizations operating under seven ministries. On the revenue side, an 11.36 per cent rise in receipts was driven by a 16.28 per cent increase in net tax revenue, with direct taxes making up 53.50 per cent of gross tax revenue, up from 51.14 per cent in FY 2021-22.

While road and infrastructure cess decreased as a result of cuts to fuel excise duty, GST collections as a share of GDP reached a five-year high. Capital expenditures, led by transportation and defense, increased to 2.32 percent of GDP while expenditures decreased as a percentage of GDP.