The Reserve Bank of India during a meeting with key members of the 15th finance Commission said, farm loan waivers and income support schemes are increasing risks to fiscal consolidation of the states.
The Reserve Bank Of India (RBI) on 8th of May expressed its concern over Central Government’s farm loan waivers and income support schemes.
The RBI during a meeting with key members of the 15th Finance Commission said, farm loan waivers and income support schemes are increasing risks to fiscal consolidation of the states.
RBI in a statement also listed out the specific factors that will drive fiscal slippages in the revised estimates of Fiscal Year 2019.
The central government schemes including “the Uday scheme and farm loan waivers and income support schemes are the major concerns according to officials.
Labelling it as “poor fiscal marksmanship“, the RBI further expressed its concerns on deviation in revised estimates.
