Current Affairs - State - Discussion

Odisha has demonstrated a remarkable fiscal transformation over the past two decades. From having a debt-to-GSDP ratio of 57.3% in 2002-03, the highest among Indian states at the time, it has reduced this ratio to 16.0% in 2023-24, the lowest in the country. Key reforms such as the Odisha Fiscal Responsibility and Budget Management Act (OFRBMA), tax system modernization, and revenue generation from mining leases were instrumental in this turnaround. Odisha also maintained a revenue surplus even during the COVID-19 pandemic, showcasing effective fiscal management and resilience. This success highlights the state's disciplined approach to economic governance.