SSC CGL 2022 PYQ — Question 35

The correct answer is option 4 i.e. gross fiscal deficit and net interest liabilities.

 

Gross primary deficit is the difference between gross fiscal deficit and net interest liabilities.

It represents the fiscal shortfall after excluding interest payments from the gross fiscal deficit. By focusing on the primary deficit, one can assess the government's fiscal position excluding the burden of interest payments on its debt. This measure helps evaluate the government's ability to manage its current expenditures and its effectiveness in generating fiscal surpluses or deficits before accounting for interest obligations.