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The fiscal deficit by November had reached nearly 94 percent of the government's full year target, piling pressure on Singh to find alternative sources of revenue.
The Congress headed government in the western state of Maharashtra last week decided to cut electricity tariffs by a fifth with immediate effect.
The Congress party is racing against time to win back voters, disenchanted by a slew of corruption scandals and a dramatic decline the country's economic fortunes on its watch.
The ruling party is also seeking to protect its turf from the Aam Aadmi or Common Man Party (AAP), which is threatening to draw support away from the poor, Congress' main voters.
as food, fuel and fertiliser coupled with slower than budgeted tax receipts have made it tougher for Singh to deliver on the government's pledge to narrow the fiscal deficit to 4.8 percent of Fendi Handbag Pink
The decision to increase the cap on annual sales of subsidised cooking gas cylinders to 12 from 9 per household was made days after Rahul Gandhi, vice president of the ruling Congress party, demanded a raise in the ceiling.
"Let there be no ambiguity that the UPA (coalition)government will not put any consumer to any hardship at all," he said.
The AAP government in the national capital has slashed power and water prices, sparking demands by lawmakers in other states for similar reductions.
gross domestic product (GDP) in the fiscal year to March 2014.
NEW DELHI, Jan 30 (Reuters) India's coalition government on Thursday increased the subsidy on cooking gas, acceding to popular demand as it gears up for a tough national election due by May.
The move, which will cost the exchequer 50 billion rupees ($800.5 million), comes at a time when federal finances are under pressure in the face of weak tax receipts in a slowing economy and high public spending.
The ruling coalition is trailing in Fendi Crossbody Bag Sale opinion polls and many analysts believe it is unlikey to win a Fendi Chameleon Crossbody
third term in power.
Under the subsidies, households will be entitled to buy the cylinders at less than half the market price. It is a highly popular, and sometimes vital, scheme in this country of 1.2 billion people.
India increases subsidy on cooking gas cylinders
But Manish Tewari, information and broadcasting minister in Singh's cabinet, said the government would not shy away from taking consumer friendly decisions.
By Nigam Prusty
In the lead up to the national election, investors fret that the party, known for its penchant for populist welfare schemes, will shun the tough economic reforms needed to revive an economy that is growing below its slowest pace in a decade.
It also flies in the face of Prime Minister Manmohan Singh's commitment to trim spending on fuel subsidies, which is at the heart of his struggle to balance the federal budget.
High government spending on subsidies such Dotcom Fendi Price
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