With reference to the Financial Affairs of the Government of India, which among the following reports / documents are caused by the President to be laid before Parliament annually?
1. Annual Financial Statement
2. Economic Survey
3. Medium-term Fiscal Policy Statement
4. Macro-economic Framework Statement
Choose the correct option from the codes given below:
[B]Only 1 & 2
[C]Only 1, 2 & 3
[D]1, 2, 3 & 4
Documents to be tabled in parliament as per FRBM Act In the above question only 1 is correct. Economic Survey is not caused to be laid by the President. Then, rest of the two docs are placed by the Government itself in parliament to fulfill its duty as per FRBM Act. Since the act was primarily for the management of the governments’ behavior, it provided for certain documents to be tabled in the Parliament annually with regards to the country’s fiscal policy. This included the following along with the Annual Financial Statement and demands for grants: oA document titled Medium-term Fiscal Policy Statement – This report was to present a three-year rolling target for the fiscal indicators with any assumptions, if applicable. This statement was to further include an assessment of sustainability with regards to revenue deficit and the use of capital receipts of the Government (including market borrowings) for generating productive assets. oA document titled Fiscal Policy Strategy Statement – This was a tactical report enumerating strategies and policies for the upcoming Financial Year including strategic fiscal priorities, taxation policies, key fiscal measures and an evaluation of how the proposed policies of the Central Government conform to the ‘Fiscal Management Principles’ of this act. oA document titled Macro-economic Framework Statement – This report was to contain forecasts enumerating the growth prospects of the country. GDP growth, revenue balance, gross fiscal balance and external account balance of the balance of payments were some of the key indicators to be included in this report. The Act further required the government to develop measures to promote fiscal transparency and reduce secrecy in the preparation of the Government financial documents including the Union Budget.