<h1>Government says on track to meet FY26 fiscal deficit target of 4.4% despite July reaching 29.9% of annual target</h1> The government, through the Economic Affairs Secretary, stated it remains on track to meet the Budget-set fiscal deficit target of 4.4% of GDP for FY26 despite July outturns showing 29.9% of the full-year target used to date. Officials attributed monthly variances to temporal mismatches in receipts and expenditures and pointed to strong macro fundamentals-robust private consumption, public and private capital formation, and broad-based Q1 GDP growth of 7.8%-as supporting continued compliance with the fiscal path and maintenance of growth momentum.