Committee To Review Fiscal Consolidation Roadmap Of The General Government

• The Chairman of the Fifteenth Finance Commission, has constituted a Committee to review the  fiscal consolidation roadmap of the general government
• The Committee shall make recommendations on the definition of deficit and debt for the Central government, overall states, the General Government and public sector enterprises by considering all explicit and measurable liabilities of the sovereign and by bringing in consistency between the definition of debt (stock) and deficit (flow).
• The Committee shall also lay down the principles for arriving at the debt of the general government debt and consolidated public sector with appropriate netting to avoid double-counting.
• The Committee shall define contingent liabilities, provide quantifiable measures of such liabilities, wherever possible, and specify conditions under which “contingent” liabilities become “explicit” liabilities of the public sector.
• Based on the above, the Committee shall recommend a debt and fiscal consolidation roadmap for FY21-FY25 for the Central Government, overall States and General Government and attempt building up scenarios for public sector enterprises.

Source : Civil Services Chronicle Online, May, 2020