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Fiscal system of indian state of himachal pradesh: challenges and opportunities

Author:

Rakesh Kumar Sharma

Subject Area:

Social Sciences and Humanities

Abstract:

Fiscal system of the country has undergone a significant change over the years especially with respect to imbalance in fiscal system of states vis-à-vis centre. Small states like Himachal Pradesh are mostly reeling under fiscal imbalance due to increasing scope of government sector obligation and the Fiscal Responsibility Act 2004. Himachal Pradesh is one of the small states of India that despite limited public finances is doing well on various socio-economic fronts. But the fiscal situation in the state is deteriorating with each passing day. Even Special Category States’ status has not recued it from financial hardship. This review paper analyzes the fiscal system of Himachal Pradesh for the better understanding of fiscal system and its challenges and opportunities.

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