CAG says States must take steps to maintain proper accounting of subsidies, reduce fiscal deficits, remove revenue deficits

New Delhi: Comptroller and Auditor General of India(CAG) Girish Chandra Murmu has said that States must take steps to maintain proper accounting of subsidies, reduce fiscal deficits, remove revenue deficits, and keep outstanding debts at an acceptable level.

 

Speaking at the Annual Accountant General’s Conclave in New Delhi yesterday, Mr. Murmu said



that the state must meet its capital expenditure, including loans and advances, from its own sources of revenue. 

He said that states must initiate measures to earn adequate returns on their investments and recover their cost of borrowed funds without resorting to implicit subsidies.