The Gujarat Fiscal Responsibility Act, 2005

The Gujarat Fiscal Responsibility Act, 2005

The Gujarat Fiscal Responsibility Act, 2005 establishes a legal framework to ensure prudent financial management, fiscal stability, and transparency in the state of Gujarat. It applies directly to the Gujarat State Government, requiring it to eliminate revenue deficits, contain fiscal deficits, and manage public debt responsibly. The law mandates the presentation of medium-term fiscal policy statements alongside annual budgets, setting out clear multi-year financial targets and strategic priorities. By enforcing fiscal discipline, mid-year financial reviews, and public disclosure of government liabilities, the Act aims to prevent unsustainable public spending, protect future generations from excessive debt burdens, and promote sustainable economic growth.

PDF: pending for this language.