GK PRS Legislative Research released the ‘State of State Finances 2023-24’ Report

What is the current status of states' revenue receipts according to the 'State of State Finances 2023-24' Report?

a) Below pre-pandemic levels
b) At pre-pandemic levels
c) Above pre-pandemic levels
d) Unaffected by pre-pandemic levels
*b) At pre-pandemic levels

Despite revenue deficit grants from the Centre, what challenge are several states still facing?
a) Surplus revenue
b) Revenue stability
c) Revenue deficits
d) Increased subsidies
*c) Revenue deficits

What impact has the end of GST compensation grants in June 2022 had on some states?
a) Positive impact
b) No impact
c) Adverse impact
d) Increased subsidies
*c) Adverse impact

What percentage of Gross State Domestic Product (GSDP) do State Goods and Services Tax (SGST) collections remain below?
a) Above pre-GST levels
b) At pre-GST levels
c) Below pre-GST levels
d) Unaffected by pre-GST levels
*c) Below pre-GST levels

Over the last several years, what percentage of their revenue have states allocated to subsidies, mainly for power?
a) 5-6%
b) 8-9%
c) 10-12%
d) 15-18%
*b) 8-9%

What type of goods have seen a noticeable increase in subsidies in various states?
a) Merit goods
b) Nonmerit goods
c) Luxury goods
d) Essential goods
*b) Nonmerit goods

In 2021-22, what financial trend did state DISCOMS exhibit?
a) Increased financial losses
b) Reduced financial losses
c) Stable financial position
d) No financial changes
*b) Reduced financial losses

What is the financial risk posed by power distribution companies (DISCOMS) for states?
a) Reduced financial risk
b) No financial risk
c) Stable financial risk
d) Contingent liability
*d) Contingent liability

What is constraining capital outlay for states, according to the report?
a) Revenue surplus
b) Persistent revenue deficit
c) Reduced subsidies
d) Off-budget borrowings
*b) Persistent revenue deficit

What trend has been observed in off-budget borrowings by states?
a) Increased off-budget borrowings
b) Stable off-budget borrowings
c) Decreased off-budget borrowings
d) No off-budget borrowings
*c) Decreased off-budget borrowings