when did fiscal deficit is equal to borrowing and why????/

or

in what situation iscal deficit is equal to borrowing and why?//

We know that fiscal deficit refers to the difference between the total budget expenditure and total budget receipts of the government, other than the borrowings and liabilities. That is,

Fiscal Deficit = Budget Expenditure – Budget Receipts (other than borrowing and liabilities)

On expanding the above equation we get,

Fiscal Deficit = (Revenue expenditure + Capital Expenditure) – (Revenue receipts + Capital receipts other than borrowings)

or, Fiscal Deficit = (Revenue expenditure + Capital Expenditure) – (Revenue receipts + Recovery of loans + Other receipts)

From this equation we can say that fiscal deficit reflects the total borrowing and other liability requirements of the government.