If in a year, the gross fiscal deficit of a Government is Rs. 3,00,000 crore, revenue deficit is Rs. 1,50,000 crore and interest payment are Rs. 80,000 crore, then the primary deficit of the Government in the year is:

The correct answer is A. Rs. 23,000 crore.

The primary deficit is the difference between the fiscal deficit and interest payments. It is a measure of the government’s ability to finance its current expenditures without borrowing.

In the given example, the gross fiscal deficit is Rs. 3,00,000 crore, the revenue deficit is Rs. 1,50,000 crore, and interest payments are Rs. 80,000 crore. Therefore, the primary deficit is Rs. 3,00,000 crore – Rs. 1,50,000 crore – Rs. 80,000 crore = Rs. 23,000 crore.

Option B is incorrect because it is the revenue deficit. Option C is incorrect because it is the gross fiscal deficit minus the revenue deficit. Option D is incorrect because it is the gross fiscal deficit.