Article 292 of Constitution of India – Borrowing by the Government of India
Article 292 of Constitution of India deals with Borrowing by the Government of India
Original Text of Article 292 of Constitution of India
The executive power of the Union extends to borrowing upon the security of the Consolidated Fund of India within such limits, if any, as may from time to time be fixed by Parliament by law and to the giving of guarantees within such limits, if any, as may be so fixed.
Questions related to Article 292 of Constitution of India
Article 292 empowers the Government of India to borrow money either within India or outside, upon the security of the Consolidated Fund of India, for purposes approved by Parliament.
As per the Constitution of India, Article 292 allows the central government to raise funds for development, emergencies, or deficit financing, ensuring financial autonomy.
No express limit is stated in Article 292 itself, but borrowing is subject to parliamentary laws and fiscal responsibility policies, as explained by Indian Kanoon.
While Article 292 pertains to the borrowing powers of the Union Government, Article 293 deals with the borrowing powers of State Governments, both under the framework of the Articles of Indian Constitution.
You can refer to Indian Kanoon for legal provisions, judgments, and expert opinions related to Article 292 of the Indian Constitution.
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