Section 3 — Fiscal Management Objectives

The State Government shall,-

(a) take appropriate measures to eliminate the revenue deficit and thereafter build up adequate revenue surplus and contain the fiscal deficit at a sustainable level and utilize such surplus for discharging the liabilities in excess of the assets or for funding capital expenditure;

(b) pursue policies to raise non-tax revenue with due regard to cost recovery and equity; and

(c) lay down norms for prioritisation of capital expenditure and pursue expenditure policies that would provide impetus for economic growth, poverty reduction and improvement in human welfare.