Fiscal Policy in India

FRBM Act 2003

December 2, 2015

In 1980s, India saw a sharp deterioration of the fiscal situation, which ultimately culminated in the balance of payments crisis of 1991. Within a decade of economic liberalisation, the fiscal deficit and debt situation again seemed to head towards unsustainable levels around 2000. At that time, a...

Constitutional Framework around Fiscal Policy in India

December 2, 2015

The overarching framework for India’s fiscal policy is provided by the constitution. This framework is made of: Article 246, Article 248 (residuary power of taxation) and Seventh Schedule Article 280 provision for Finance Commission Article 112 and other articles related to Budget Part IX and IX-A (local...