AP approves ordinance for enactment of FRBM

Hyderabad: | Updated: May 20 2005, 05:30am hrs
Andhra Pradesh cabinet on Thursday approved an ordinance for enactment of fiscal responsibility and budget management act (FRBMA) that seeks to eliminate revenue deficit over the next three years and to infuse better discipline in fiscal management. The draft legislation, which has been approved by the Centre and RBI, would enable the state government avail the debt relief and write-off benefit in respect to the central loans, chief minister Y S Rajasekhar Reddy told reporters after the cabinet meeting. Denying that the act was a result of pressure from the World Bank, he said it was aimed at ensuring revenue discipline, transparency in implementation of public policies and stability in fiscal policy.