Total Revenue 2024-25
₹3.05L
▲ 7.4% vs prev yr
Total Expenditure 2024-25
₹4.10L
▲ 6.8% vs prev yr
Fiscal Deficit
₹1.19L
FRBM Limit: 3%
Capital Expenditure
₹0.62L
▼ Below interest pmt
Interest Payments
₹0.83L
▲ Exceeds capex
Own Tax Revenue
₹1.44L
TVK White Paper
Revenue Sources Over Time
Own Tax · Non-Tax · Central Transfers
SOTR / GSDP Ratio — Declining Trend
State's Own Tax as % of its Economy
Revenue Dependency on Centre
Central transfers now account for ~40% of TN's revenue receipts. TN's own tax-to-GSDP ratio fell from ~7.7% (2014-15) to 5.45% (2024-25). Recovery of ₹54,640 crore in arrears could significantly improve fiscal position.
TVK White Paper 2026 / CAG Revenue Receipts Report
Expenditure Composition 2023-24
What TN spends money on
Capital vs Revenue Expenditure
Development investment vs day-to-day spending
Major Expenditure Heads — 10-Year Trend
FRBM Breached Every Year Since 2018-19
Tamil Nadu's fiscal deficit has exceeded the FRBM ceiling of 3% of GSDP every single year since 2018-19. The COVID year (2020-21) saw it spike to 4.45%. Even "normal" years now see 4%+. CAG additionally flags that off-budget borrowings would push the actual deficit even higher.
TN Finance Dept / CAG / FRBM Act 2003
Fiscal Deficit % GSDP — vs FRBM Limit
Revenue Deficit — Borrowing for Consumption
Committed Expenditure Crowd-Out
Over 80% of TN's revenue expenditure is committed — salaries, pensions, interest payments, and subsidies. These are nearly impossible to cut in the short term. This leaves little room for development spending or fiscal adjustment.
Committed Costs vs Discretionary Spending
Salaries & Pensions ₹1.38L Cr
Interest Payments ₹0.83L Cr
Subsidies & Welfare ₹0.46L Cr
Capital Expenditure ₹0.62L Cr
Other Revenue Exp. ₹0.81L Cr
Bar scale: % of total revenue receipts (₹3.05L Cr) · 2024-25 BE
Interest vs Capex — The Crossover
Crossover Happened in 2022-23
Interest payments exceeded capital expenditure for the first time in 2022-23 and the gap is widening. In 2024-25, TN will pay ₹0.83L Cr in interest but invest only ₹0.62L Cr in new assets.
Metric:
GSDP — 10-Year Trend
2014-15 to 2024-25
Full Data
Budget Summary — Year by Year
| Year | SOTR | Revenue Receipts | Revenue Exp. | Capital Exp. | Salaries+Pension | Interest | Subsidies | Fiscal Deficit | FD % GSDP |
|---|
Data Sources
Tamil Nadu Budget Documents — Finance Department (finweb.tn.gov.in)
RBI State Finances: A Study of Budgets (Annual)
TVK White Paper on State Finances, June 2026
DMK White Paper on State Finances, August 2021
CAG Reports on State Finances of Tamil Nadu
Economic Survey of Tamil Nadu — P&D Department
* Approximate figures. Verify with original sources.