Consider the following statements in respect of the Fiscal Responsibility and Budget Management Act:
1.It lays down limits for revenue deficit and fiscal deficit as a percentage of GDP.
2.It applies to both Central and State Governments.
3.It does not permit the Central Government to give guarantees to loans raised by PSUs and State Governments beyond 0.5 per cent of GDP.
4.It prescribes an upper limit for the liabilities of the government.
Which of these statements are correct?

1 and 3 only

No worries! We‘ve got your back. Try BYJU‘S free classes today!

1,2, 3 and 4

No worries! We‘ve got your back. Try BYJU‘S free classes today!

2 and 4 only

No worries! We‘ve got your back. Try BYJU‘S free classes today!

1,3 and 4

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Open in App

Solution

The correct option is D
1,3 and 4

Option:(D)

Suggest Corrections

Similar questions

40 %

Q12) consider the following statements about the FRBM act of 2003

i) It mandates the government to ensure inter-generational equity, long term macro-economic stability, and effective debt management

ii) It mandates the government to reduce fiscal deficit by 0.3% of GDP every year and Revenue deficit by 0.5% GDP every year

iii) This act implies only to the center government

iv) The center government shall not borrow from RBI except by other ways and means advances.

Identify the correct statement/s

Which among the following statements are correct about various budgetary deficits in India?

Codes :

Join BYJU'S Learning Program