THE KARNATAKA FISCAL RESPONSIBILITY (AMENDMENT) ACT, 2021 (Received the assent of the Governor on the 29th day of March, 2021) KARNATAKA ACT NO.15 OF 2021 (First Published in the Karnataka Gazette Extra-ordinary on the 29th day of March, 2021) An Act further to amend the Karnataka Fiscal responsibility Act, 2002. Whereas it is expedient further to amend the Karnataka Fiscal Responsibility Act, 2002 (Karnataka Act 16 of 2002) for the purposes hereinafter appearing; Be it enacted by the Karnataka State Legislature in the seventy second year of the Republic of India as follows:- 1. Short title and commencement.- (1) This Act may be called the Karnataka Fiscal Responsibility ( Amendment) Act, 2021. (2) It shall come into force with effect from the first day of April, 2021. 2. Amendment of section 4.- In the Karnataka Fiscal Responsibility Act, 2002 (Karnataka Act 16 of 2002), in section 4, in sub-section (3), after the sixth proviso, the following shall be inserted, namely:- “Provided also that, the fiscal deficit during the financial year 2021-22 shall not exceed four percent of estimated Gross State Domestic Product: Provided also that, during the financial year 2021-2022, the State revenue deficit may arise due to slow recovery of the economy to the Pre Covid-19 levels: Provided also that, during the financial year 2021-22, the total Liabilities may exceed twenty five percent of the estimated Gross State Domestic Product”. |
