Press Releases 2005

U.S. and India Inaugurate Effort to Bolster Jharkhand Fiscal Systems

16 August 2005

RANCHI (Jharkhand) - U.S. and Indian officials today inaugurated a specialized fiscal unit here aimed at bolstering public finance systems in the Jharkhand state. Better forecasting, budgeting and investment of public resources are the aims of the bilateral effort.

Government of Jharkhand Finance Minister Shri Raghubar, and United States Agency for International Development (USAID) Mission Director George Deikun opened the fiscal unit for business in a joint ceremony held at the state government Administrative Training Institute where it will reside and operate. The new unit is called the Center for Fiscal Studies.

USAID will share technical expertise, fiscal analysis methods and tools with dedicated state public finance professionals to strengthen financial decision-making. Knowledge and practices gained will help the state better forecast state revenues and the impact of budget policies, improve budget preparation processes, and update information systems that track and manage state debt and spending.

Few states in India have such specialized cells to conduct fiscal analysis on a regular basis. The dedicated fiscal cell inaugurated today is part of a broader, five-year U.S.-India initiative led by USAID called "Reform," to strengthen public fiscal systems in Jharkhand, Karnataka and Uttaranchal.

Speaking on the occasion, USAID Director George Deikun said: "U.S.-India relations are stronger than they have ever been. Prime Minister Singh and President Bush have pledged to transform the relationship between the countries and establish a global partnership."

"A healthier bottom-line in public budgets can fuel economic growth and improve quality of life for all of India's citizens. At the state level in particular, fiscal strength promotes access to social services for people who need and use them most," he said.
 
Mr. Deikun's participation at the opening ceremony is part of a four-day visit to Jharkhand where he is visiting a number of USAID-supported investments in health care, HIV/AIDS education and rural development.