Fiscal deficit percentage of GSDP of Bihar as per budget 2020-21 is?

Correct option is A

The fiscal deficit percentage of Bihar’s GSDP (Gross State Domestic Product) as per the budget for 2020-21 was 2.97%.

Explanation:
● Fiscal deficit represents the shortfall in a state’s revenue compared to its expenditures.
● Bihar’s fiscal deficit in 2020-21 was maintained below the 3% limit set by the Fiscal Responsibility and Budget Management (FRBM) Act, reflecting fiscal discipline.
● The government prioritized social welfare schemes and infrastructure development while keeping the deficit in check.

Information Booster:
● Bihar's budget allocation for education and rural development was among the highest in India.
● Fiscal deficit is a critical measure of economic stability, directly impacting borrowing and state finances.