Conclusion

Abstract

Abstract This concluding chapter attempts to summarize the motivation for the book, the theoretical arguments for and against public debt, the subnational government (SNG) borrowing arrangements in India, debt position of Indian states, challenges to debt sustainability in Indian states, and the strategies and policy recommendation for Indian states to avoid debt crisis. The policy interventions encompass a wide gamut of reforms including revenue augmentation through extending GST to excluded items, expenditure rationalization through curtailing inefficient subsidies, strengthening of local body finances and restructuring of state-level public enterprises. The policy recommendations also include leveraging e-initiatives and utilizing innovating financing and monetization methods.