ForumIAS announcing GS Foundation Program for UPSC CSE 2025-26 from 19 April. Click Here for more information.
ForumIAS Answer Writing Focus Group (AWFG) for Mains 2024 commencing from 24th June 2024. The Entrance Test for the program will be held on 28th April 2024 at 9 AM. To know more about the program visit: https://forumias.com/blog/awfg2024
- The Government have budgeted the fiscal deficit for 2019-20 at 3.4% of the Gross Domestic Product which is slightly higher than the target of 3.3% of GDP that the government had set itself last year.
- Fiscal deficit is the amount of money that the government needs to borrow in a given year because their expenses were more than their revenues.
- The deficit was expected to be higher than targeted due to a combination of revenue shortfalls and increased spending due to farmer’s income support scheme announced in the current fiscal.
- The original target of achieving fiscal deficit at 3% of GDP by 2016-17 under the Fiscal Responsibility and Budget Management(FRBM)legislation has now been pushed to 2020-21.
- The Fiscal Responsibility and Budget Management Act, 2003 (FRBMA) is an Act of the Parliament of India to institutionalize financial discipline, reduce India’s fiscal deficit by moving towards a balanced budget and by strengthening fiscal prudence.
