An autonomous research institute under the Ministry of Finance


Finances of Karnataka: Fiscal Implications of Salary Hike

Publication date

Nov, 2006


Report submitted to the Government of Karnataka


M. Govinda Rao, Pinaki Chakraborty


The objective was to examine the extent of fiscal space required to carry out a pay revision. Based on plausible assumption of salary hike across scales and group of employees, and future revenues and expenditures, the study examined the fiscal implications of salary hike. The study had also examined the impact of salary hike within MTFP framework of Karnataka Government and the question of fiscal sustainability thereon.

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