economy

White Paper in the Economy, Objectives, Key Claims and Findings

Context: Finance Minister Nirmala Sitharaman presented a “white paper” on the Indian economy in Parliament. About White Paper in the Economy A white paper is a detailed report or guide designed to inform readers concisely about a complex issue and...

Logistics Performance Index 2023, Parameters, Government Initiatives

According to the World Bank's Logistics Performance Index Report for 2023, India has made remarkable progress, ranking 38 out of 139 countries. This achievement marks a substantial improvement from its position at 54 in 2014, demonstrating a commendable sixteen-place leap....

Fiscal Consolidation in India, Meaning, Examples

Context: The Indian interim budget for 2024-25 presented a cautious approach, highlighting continued focus on capital expenditure and fiscal consolidation while avoiding major tax changes. Fiscal Consolidation The Budget projects a fiscal deficit reduction to 5.1% for 2024-25, aligning with...

Fiscal Federalism – Ongoing Issues, Constitutional Provisions

Context: Kerala Government moved the Supreme Court last year against Centre limiting state's borrowing capacity, and alleged violation Of Fiscal Federalism. The Tamil Nadu Chief Minister recently appreciated Kerala’s action. Fiscal Federalism: An Overview Definition: It refers to the financial...

Increased Tax to GDP Ratio, Reasons, Potential Benefits

Increased Tax to GDP Ratio Context: India’s tax-to-GDP ratio is expected to hit a record high of 11.7% of GDP in 2024-25. Reasons For Increase Growth in Direct Taxes: Increased collections: Direct taxes like income tax and corporate tax are...

Open Market Sales Scheme (OMSS), Objectives and Implementation

Context: The Kerala government criticised the Central government's decision to prevent state governments and agencies from buying food grains through the Open Market Sale Scheme (OMSS). About Open Market Sales Scheme What?: Food Corporation Of India (FCI) sells surplus wheat...

Foreign Contribution Regulation Act (FCRA), Salient Features

Context: The Central Bureau of Investigation (CBI) conducted searches at social activist Harsh Mander's office and home in Delhi regarding an alleged Foreign Contribution (Regulation) Act (FCRA) violation case. Foreign Contribution Regulation Act (FCRA) The Foreign Contribution (Regulation) Act (FCRA)...

Multidimensional Poverty in India, Data, Calculation Method

Context: Finance Minister Nirmala Sitharaman stated that in the last decade, 25 crore people in India have been lifted out of multidimensional poverty. Multidimensional Poverty: Basis For This Assessment Source of Data: NITI Aayog's discussion paper titled 'Multidimensional Poverty in...

16th Finance Commission, Constitution, Terms of Reference, Challenges 

The Finance Commission, a constitutionally mandated body established under Article 280 of the Constitution, plays a pivotal role in shaping financial relations between the central and state governments in India.16th Finance Commission was constituted on December 31, 2023, headed by...

Highlights of the Interim Budget 2024-25, Schemes, Initiatives

Highlights of the Interim Budget 2024-25 Social Justice Prime Minister to focus on upliftment of four major castes, that is, ‘Garib’ (Poor), ‘Mahilayen’ (Women), ‘Yuva’ (Youth) and ‘Annadata’(Farmer). ‘Garib Kalyan, Desh ka Kalyan’ Government assisted 25 crore people out of...