Reserve Bank holds 36<sup>th</sup> Conference of State Finance Secretaries
Distilled Policy Brief
- The 36th Conference of State Finance Secretaries was held in Mumbai, focusing on expenditure quality, cash management, and prudent debt strategies to enhance fiscal sustainability.
- The conference reviewed State market borrowings, short-term financial accommodation from the Reserve Bank, and the adoption of a Benchmark Issuance Strategy by States.
🎯 Prelims High-Yield Examination Points
Note the recommendation for States to adopt the Unified Lending Interface (ULI) and Programmable CBDC (P-CBDC) for targeted Direct Benefit Transfers.
⚖️ Mains Analytical & Syllabus Linkages
Examine the role of spending quality, prudent debt management, and digital financial tools in sustaining sub-national fiscal health.
🎯 UPSC Prelims Practice Drill
Consider the following statements regarding the 36th Conference of State Finance Secretaries held by the Reserve Bank of India: 1. The primary theme of the conference focused on the role of expenditure quality, effective cash management, and prudent debt management in enhancing states' fiscal sustainability. 2. The conference exclusively discussed state market borrowings without addressing short-term financial accommodations from the Reserve Bank. 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
Statement 1 is correct because the 36th Conference of State Finance Secretaries focused on the theme of 'Role of Quality of Expenditure, Effective Cash and Prudent Debt Management in Enhancing States’ Fiscal Sustainability'. Statement 2 is incorrect because the meeting specifically reviewed both state market borrowings and short-term financial accommodation to the States from the Reserve Bank.
🏛️ 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.