Answer-Which of the following is a primary objective of the 'Fiscal Responsibility and Budget Management (F...

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The FRBM Act, enacted in 2003, is a legal framework for fiscal consolidation . Its primary objectives are to ensure:

Inter-generational equity in fiscal management.
Long-term macroeconomic stability.
To achieve this, the Act (and its subsequent rules) mandate the central government to set and adhere to specific limits for key deficit indicators -- notably the Fiscal Deficit and the Revenue Deficit -- as a percentage of GDP. It also sets targets for reducing public debt. The goal is not necessarily to eliminate the deficit but to bring it down to prudent, sustainable levels.

Which of the following is a primary objective of the 'Fiscal Responsibility and Budget Management (FRB