HS

HARSHDEEP SAGARAIR 299· 2025

Question 14GS2GS2

(15 FC) 15th Finance Commission has used new criteria to being devolution rates to 41% for state.

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Main Body

15th Finance Commission has used new criteria to bring devolution rates to 41% for state.

Enabled states to improve fiscal condition:

1Reduced fiscal deficit (with diagram showing Target achieved: 3.7% vs 2024 RBT)
2Reduced debt to GDP to 28% [RBT]
3Reduced dependence on grants - 1.95 to 1.65 lakh crore
4Improved metrics
Mizoram - highest literacy rate
Telangana - pursued national government state rate
Delhi, Goa - per capita income was than double of national

But still struggles continue:

i) State Health report (REP) delayed lagged - state, Kerala, West Bengal

ii) Contention about the criteria of 15th FC itself

Some states 'penalized' for population centre

iii) Increasing expenses of states

by Core centred-sponsored schemes [?]

Power sector in loss (CST delay in devolution [PAC report]

Way forward - 16 UMC must have improved criteria:

(ii) Timely payments

(iii) NITI saying to assist states in fiscal management.

Hence, ladies must ensure all states develop equally for 'Satta Sah, Satta Vikas'.

— HARSHDEEP SAGAR · AIR 299

169 words5 paragraphs5 bullet points

Conclusion

Hence, ladies must ensure all states develop equally for 'Satta Sah, Satta Vikas'.

13 words

Examiner score
1/10

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Topper

HARSHDEEP SAGAR

AIR 2992025

Subject & Paper

GS2GS2

Topic

Federal Structure - Functions, Responsibilities, Devolution of Powers and Finances

Centre-State Financial Relations

Finance Commission and Resource Devolution

Writing Stats

182

Total words

5

Paragraphs

5

Bullets