MANAGEMENT

Detailed explanation-1: -The term “public financial management” commonly describes elements of an annual budget cycle, which typically centers around (1) budget formulation; (2) budget execution; (3) accounting and reporting; and (4) external security and audit. A general consensus exists around the objectives of the PFM system.

Detailed explanation-2: -Budget 2023-24: Government To Achieve Fiscal Deficit Target Of 5.9% In Financial Year 2023-24. Finance Minister Nirmala Sitharaman said that the government will stick to its fiscal deficit target of 6.4 per cent. Finance Minister Nirmala Sitharaman | PTI.

Detailed explanation-3: -What fiscal consolidation measures have been taken by the central government? Steps taken by the government for fiscal consolidation include reducing fiscal deficit to less than 3.5% of GDP, keeping debt to GDP ratio around 60% etc, . The above details would help candidates prepare for UPSC 2023.

Detailed explanation-4: -Targets and Fiscal Indicators as per the FRBM Act As per the latest target of the FRBM Act: Government is required to limit the fiscal deficit to 3% of the GDP by March 31, 2021. Government is required to limit debt of the central government to 40% of the GDP by the year 2024-25.