Amendment status not verified — confirm the current text below against the official source.
Fiscal Management Principles (1) The State Government shall take appropriate measures to manage the revenue deficit, fiscal deficit and outstanding debt to sustainable levels. (2) The State Government shall – (a) reduce the ratio of revenue deficit to revenue receipt every year by three per cent to five per cent depending on the economic situation in that year beginning from financial year 2002-2003 and eliminate revenue deficit by 2025-20261 and adhere to it thereafter; (b) maintain the ratio of fiscal deficit to Gross State Domestic Product as not more than three per cent by 31st March 20251 and adhere to it thereafter; (bb) maintain the ratio of total outstanding debt to Gross State Domestic Product with medium term goal of not being more than 24.5 per cent during 2011-2012; 24.8 per cent during 2012-2013; 25.0 per cent during 2013-2014; 25.2 per cent during 2014-2015 and thereafter maintain such per cent as may be prescribed”. (c) cap the total outstanding guarantees to hundred per cent of the total revenue receipt in the preceding year or at ten per cent of Gross State Domestic Product, whichever is lower; (d) cap the risk weighted guarantees to seventy five per cent of the total revenue receipt in the preceding year or at seven and half per cent of Gross State Domestic Product, whichever is lower. Provided that revenue deficit and fiscal deficit may exceed the limits specified under this sub-section due to ground or grounds of unforeseen demands on the finances of the State Government due to national security or natural calamity subject to the condition that the excess beyond limits arising due to natural calamities does not exceed the actual fiscal cost that can be attributed to the calamities: Provided further that the ground or grounds specified in the first proviso shall be placed before the Legislative Assembly as soon as may be, after it becomes likely that such deficit amount may exceed the aforesaid limits, with an accompanying report stating the likely extent of excess, and reasons therefor.