The proposed program seeks to facilitate implementation of a comprehensive fiscal consolidation program in Punjab. This will generate fiscal savings and thereby assist Punjab to augment and sustain growth enhancing development financing.
Punjab is primarily an agrarian economy with a population of 28 million. Punjab has always been instrumental in ensuring national food security since 1960s. The Government of Punjab (GOP) traditionally provides various subsidies, including free power to farmers, to promote agriculture in the state. Despite these schemes, Punjab agriculture is currently constrained by declining productivity, soil degradation, and water depletion.
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