The Left Democratic Front (LDF) government in Kerala presented its annual budget last week projecting revenue and fiscal deficit at Rs 23,942 crore or 2.1 per cent of GSDP (Gross State Domestic Product) and at Rs 39,662 crore or 3.5 per cent of GSDP, respectively, for FY24. At this rate, the fiscal deficit would be just about touching the limits, 3 per cent of GSDP, and additional 0.5 per cent subject to the central government conditions, according to India Ratings, which sees revenue and fiscal deficits to be higher at 2.4 per cent and 3.9 per cent, respectively, of GSDP in FY24. This, according to the rating agency, is mainly due to a shortfall in revenue receipts and the overstated nominal GSDP growth.