(1) The medium term fiscal policy statement shall set forth a threeyear rolling target for the prescribed fiscal indicators with clear enunciations of the underlying assumptions.
(2) In particular and without prejudice to the provisions contained in sub-section (1), the medium term fiscal policy statement shall include the various assumptions behind the fiscal indicators and an assessment of sustainability relating to—
(i) the balance between revenue receipts and revenue expenditure;
(ii) the use of capital receipts including borrowing for generating productive assets; and
(iii) the estimated yearly pension liabilities worked out on actuarial basis for the next ten years:
Provided that in case it is not possible to calculate the pension liabilities on actuarial basis during the period of first three years after the coming into force of this Act, the State Government may, during that period, estimate the pension liabilities by making forecasts on the basis of trend growth rates.
8. The fiscal policy strategy statement shall be in such form as may be prescribed and shall contain, inter alia—
(i) the fiscal policies of the State Government for the ensuing year relating to taxation, expenditure, borrowing and other liabilities (including borrowings by public sector undertakings and special purpose vehicle and other equivalent instruments where liability for repayment is on the State Government), lending, investments, other contingent liabilities, user charges on public goods/utilities and description of other activities, such as guarantees and activities of public sector undertakings which have potential budgetary implications;
Macroeconomic framework statement.
Medium term fiscal policy statement.
Fiscal policy strategy statement.
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(ii) the strategic priorities of the State Government in the fiscal area for the ensuing year;
(iii) the key fiscal measures and the rationale for any major deviation in fiscal measures pertaining to taxation, subsidy, expenditure, borrowings and user charges on public goods/utilities; and
(iv) an evaluation of the current policies of the State Government via-a-vis the fiscal management principles set out in section 4, the fiscal objectives set out in the medium term fiscal policy statement in sub-section (1) of section 7 and fiscal targets set out in section 9.