Question Answer
The ministry of Finance recently released a comprehensive paper on Govt. debt. Which of the following is/are true about the same ? The paper presents the road map for general debt to be raised by the Govt. of India during the period of 2011-2015 which is the period of the awards of the 13th Finance Commission. As per the estimates, the target debt in the terminal year 2014-15 will be lower than whatever recommended by the 13th Finance Commission. The paper has recommended that the Govt. should try to generate resources in such a way that it does not have to depend much on debt.’ The total debt should not be more than 1/3rd of the total requirements.
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