Q. Consider the following statements:
1.NITI Aayog aims to foster competitive federalism by creating indices and ranking states.
2.NITI Aayog possess financial authority or enforcement powers for fiscal transfer to states.
Which of the statement(s) given above is/are correct?
Answer: A
Notes:
Explanation –
Statement 1 is correct. NITI Aayog promotes competitive federalism by encouraging healthy competition among states through transparent rankings in various sectors. This includes indices such as the School Education Quality Index, State Health Index, Composite Water Management Index, Sustainable Development Goals Index, India Innovation Index, and Export Competitiveness Index.
Statement 2 is incorrect. NITI Aayog does not have financial authority or enforcement powers for fiscal transfers to states. Its role is primarily that of a think tank and policy advisor without the power to enforce financial decisions. The financial powers and decisions on transfers are handled by the Ministry of Finance.
Source: The Hindu
