Why election promises are pushing Indian states to the fiscal brink
freebie fallout Bihar is a case in point. Populist welfare schemes announced during the recent poll campaign, including a 10,000 grant to women, could cost the state over Rs 41,000 crore, Emkay Global estimates. That’s nearly 4% of the gross state domestic product (GSDP), and exceeds even the planned capital expenditure for 2025-26. Bihar already…