Beyond landslide victory: AAP has a tightrope walk on fiscal balance

Delhi Chief Minister Arvind Kejriwal attending a press conference in New Delhi | Photo: ANI
The AAP government has presented revenue surplus budget successively. However, it has been incurring fiscal deficit since 2016-17 (except for 2017-18), which has been under control at sub-1 per cent of its state gross domestic product. The new Arvind Kejriwal government has to keep in mind that revenue and fiscal balances of the government do not deteriorate much if it expands its freebies.

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