Fiscal Health Index (FHI) 2025
Summary
*Source: PIB* **Context:** The Fiscal Health Index (FHI) 2025, launched by NITI Aayog provides an in-depth analysis of the fiscal health of 18 major Indian states. **About ****Fiscal Health Index 2025:** • **Developed by:** NITI Aayog, with data sourced from the **Comptroller and Auditor General (****CAG****)**. • **Base Year:** 2022-23 fiscal data is the reference year for rankings and analysis. • **Aim:** To evaluate fiscal health, highlight interstate disparities, and encourage targeted in
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Source: PIB
Context: The Fiscal Health Index (FHI) 2025, launched by NITI Aayog provides an in-depth analysis of the fiscal health of 18 major Indian states.
**About **Fiscal Health Index 2025:
• Developed by: NITI Aayog, with data sourced from the Comptroller and Auditor General (CAG). • Base Year: 2022-23 fiscal data is the reference year for rankings and analysis. • Aim: To evaluate fiscal health, highlight interstate disparities, and encourage targeted interventions for improving fiscal performance and governance. • Criteria used: The FHI evaluates states across five sub-indices: • Quality of Expenditure: Efficiency in capital and social sector spending. Revenue Mobilization: States’ ability to generate revenue from taxes and other sources. Fiscal Prudence: Adherence to fiscal deficit targets and financial management. Debt Index: States’ total debt burden. Debt Sustainability: Debt-to-GSDP ratio and interest burden on revenue. • Quality of Expenditure: Efficiency in capital and social sector spending. • Revenue Mobilization: States’ ability to generate revenue from taxes and other sources. • Fiscal Prudence: Adherence to fiscal deficit targets and financial management. • Debt Index: States’ total debt burden. • Debt Sustainability: Debt-to-GSDP ratio and interest burden on revenue. • Key Features: • Tracks fiscal trends from 2014-15 to 2022-23. Focuses on 18 major states driving India’s economy. Provides state-specific insights for policy interventions. Highlights top achievers and aspirational states to promote healthy competition. Aligns with India’s vision for Viksit Bharat** @2047**. • Tracks fiscal trends from 2014-15 to 2022-23. • Focuses on 18 major states driving India’s economy. • Provides state-specific insights for policy interventions. • Highlights top achievers and aspirational states to promote healthy competition. • Aligns with India’s vision for Viksit Bharat** @2047**. • Top 3 Achievers (2022-23):
Rank | State | Category | FHI Score 1 | Odisha | Achievers | 67.8 2 | Chhattisgarh | Achievers | 55.2 3 | Goa | Achievers | 53.6 Insta links:
• Niti Report