Report of the Advisory Committee on Ways and Means Advances to State Governments
Distilled Policy Brief
- The Reserve Bank of India placed the Report of the Advisory Committee on Ways and Means Advances (WMA) to State Governments on its website.
- The Advisory Committee was constituted under the Chairmanship of Shri I S N Prasad, former Additional Chief Secretary, Government of Karnataka, to review State-wise WMA limits and other financial accommodation facilities.
🎯 Prelims High-Yield Examination Points
Ways and Means Advances (WMA) limits and financial accommodation facilities for State Governments are reviewed by advisory committees constituted by the Reserve Bank of India.
⚖️ Mains Analytical & Syllabus Linkages
Examine the role of Ways and Means Advances (WMA) in managing fiscal mismatches and short-term liquidity of State Governments.
🎯 UPSC Prelims Practice Drill
Consider the following statements regarding the Advisory Committee on Ways and Means Advances (WMA) to State Governments recently in the news: 1. The Committee was constituted under the Chairmanship of Shri I S N Prasad. 2. The primary mandate of the Committee included the review of State-wise WMA limits and other financial accommodation facilities. Which of the statements given above is/are correct?
- [A] 1 only
- [B] 2 only
- [C] Both 1 and 2
- [D] Neither 1 nor 2
▶ Reveal Official Answer & Analytical Explanation
The Reserve Bank of India constituted an Advisory Committee on Ways and Means Advances (WMA) to State Governments under the Chairmanship of Shri I S N Prasad, former Additional Chief Secretary, Government of Karnataka. The terms of reference explicitly included reviewing State-wise WMA limits and other financial accommodation facilities available to the States. Thus, both statements are correct.
🏛️ Historical Twin PYQ Anchor (2021)
Consider the following statements regarding the "National Clean Air Programme (NCAP)": 1. It is implemented by the Ministry of Environment, Forest and Climate Change. 2. Central Pollution Control Board acts as the sole regulatory executive body.