Which one of the following statements is correct? Fiscal Responsibility and Budget Management Act (FRBMA) concerns

The FRBM Act explicitly targets both fiscal deficit and revenue deficit as core elements of its fiscal consolidation framework. The Act set out annual reduction paths — a 0.3 percentage‑point annual reduction for fiscal deficit aiming for 3% of GDP, and a 0.5 percentage‑point annual reduction for revenue deficit aiming for about 1% by 2008–09 — showing attention to both deficits [1]. The FRBM Rules required elimination/reduction of revenue deficit by a prescribed date and mandated yearly reduction targets for both revenue and fiscal deficits, making both statutory policy objectives for the Centre [2]. The legislation also defines fiscal and revenue deficits and makes them operational targets within the medium‑term fiscal statements [3].

Sources

1. [1] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 5: Indian Tax Structure and Public Finance > FISCAL RESPONSIBILITY AND BUDGET MANAGEMENT ACT, 2003 > p. 115
2. [2] https://fincomindia.nic.in/asset/doc/commission-reports/12th-FC/reports/eng/Chapter%2005.pdf
3. [3] https://cag.gov.in/uploads/download_audit_report/2021/05_Chapter%201-061a4c47f5f39a1.92176491.pdf