UPSC Prelims Practice Questions — A gradual fiscal correction
Q1. In the Andhra Pradesh Budget 2026-27, which one of the following sectors/schemes received the largest budgetary allocation?
- A. NTR Bharosa (Social Pensions)
- B. Annadata Sukhibhava (Agriculture)
- C. Education
- D. Amaravati Capital City construction
Q2. With reference to the Andhra Pradesh Budget 2026-27, consider the following statements:
1. The fiscal deficit has been pegged at 3.8% of GSDP.
2. The revenue deficit has been pegged at about 1.1% of GSDP.
3. The capital outlay has been reduced compared to the 2025-26 Budget Estimate.
4. The 16th Finance Commission has recommended an annual fiscal deficit ceiling of 3.5% of GSDP for States during 2026-31.
Which of the statements given above is/are NOT correct?
- The fiscal deficit has been pegged at 3.8% of GSDP.
- The revenue deficit has been pegged at about 1.1% of GSDP.
- The capital outlay has been reduced compared to the 2025-26 Budget Estimate.
- The 16th Finance Commission has recommended an annual fiscal deficit ceiling of 3.5% of GSDP for States during 2026-31.
- A. 1 and 2 only
- B. 3 and 4 only
- C. 2, 3 and 4
- D. 1 and 4 only
Q3. The statutory framework that mandates progressive reduction of fiscal and revenue deficits — invoked in commentary on the Andhra Pradesh Budget 2026-27's consolidation path — was enacted by Parliament in which one of the following years?
- A. 2000
- B. 2003
- C. 2005
- D. 2017
Q4. With reference to the Andhra Pradesh Budget 2026-27, consider the following:
1. NTR Bharosa
2. Annadata Sukhibhava
3. Amaravati Capital City development
4. PM-KISAN
Which of the above are correctly identified as schemes/items that received distinct State budgetary allocations in the Andhra Pradesh Budget 2026-27?
- NTR Bharosa
- Annadata Sukhibhava
- Amaravati Capital City development
- PM-KISAN
- A. 1 and 3 only
- B. 2 and 4 only
- C. 1, 2 and 3 only
- D. 1, 2, 3 and 4
Q5. As per the Andhra Pradesh Budget 2026-27, by approximately what percentage has the State's capital outlay been increased over the previous year's level?