Amendment status not verified — confirm the current text below against the official source.
(1) The State Government shall take appropriate measures to eliminate the revenue deficit and contain fiscal deficit. (2) In particular, and without prejudice to the generality of the foregoing provision, the State Government shall, - 1[(a) contain fiscal deficit as per cent of Gross State Domestic Product (GSDP) in voguein thatparticular year as recommended by the Central Finance Commission and as allowed by the Government of India; (b) attain revenue deficit as per cent of Gross State Domestic Product (GSDP) in vogue in that particular year as recommended by the Central Finance Commission and as allowed by the Government of India; (c) contain debt as per cent of Gross State Domestic Product(GSDP) in vogue in that particular year as recommended by the Central Finance Commissionand as allowed by the Government of India; and]; and (d) cap outstanding guarantees on long term debt to eighty per cent of revenue receipts of the previous year guarantees on short term debt to be given only for working capital or food credit in which case this must be fully backed by physical stocks. (3) Subsequent to the announcement of the general elections by the Election Commission of India to the Punjab Legislative Assembly, the leaders of the two largest political parties in the State may request the Secretary of the Department of Finance of the State Government, to prepare approximate expenditure of the publicly announced proposals of either party, with a view to facilitate the public debate. (4) No act, which may lead to increase in the expenditure on Government employees, remission in State revenue or which may result in credit operations based on future revenue, other than the normal open market and other borrowings of the State Government conducted through the Reserve Bank, shall be undertaken within a period of six months before the general elections to the Punjab Legislative Assembly become due. 1Substituted by Punjab Act No. 9 of 2023, Section 2 Fiscal management principles. 1[(5) Notwithstanding anything contained in sub-section (2), the revenue deficit and fiscal deficit may exceed the limits, specified by the Government of India from time to time, on the ground of unforeseen demands on the finances of the State Government arising out of internal disturbance or natural calamity or national security or such other exceptional ground as the State Government may specify. (6) In case the revenue deficit and fiscal deficit specified in sub-section (2), cannot be met due to ground mentioned in sub- section (5), the State Government shall identify the net fiscal cost of the calamity and such cost would provide ceiling for extent of non-compliance to the specified limits.]