Centre targets 50% of GDP for public debt by 2030
Key Highlights
The Centre targets a public debt limit of 50% of GDP by 2030. Finance Minister Nirmala Sitharaman reaffirmed the commitment to fiscal consolidation.
The Centre aims to cap national public debt at 50% of GDP by 2030 as part of its fiscal consolidation strategy. Finance Minister Nirmala Sitharaman stated that the government is consistently implementing measures to reduce debt levels while maintaining a disciplined approach to fiscal management.
Sitharaman noted that international organisations have recognised the government’s efforts in managing debt. She highlighted that the administration has used annual budgets to control the fiscal deficit. According to the Finance Minister, all nations have encountered debt-related challenges following the COVID-19 pandemic.
Regarding inflation, a dedicated group of ministers has worked since 2014 to ensure price stability through supply chain management. The government implemented targeted interventions, including restrictions on rice exports, to protect domestic consumers from price hikes. These measures also aimed to ensure farmers received the Minimum Support Price. The Minister added that the government continues to work on increasing per capita income despite global challenges like fuel price fluctuations and wars.
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