Link incentives to states with social sector performance: EAC

The Economic Advisory Council to the Prime Minister said it took stock of the prevailing economic situation and spelt out ‘a clear road map’ for stepping up skill development, job creation and enhanced resource investment in the social sector.

The Economic Advisory Council to the Prime Minister (EAC) has said the 15th finance commission should link incentives to states with their outcomes in sectors like health and education.

The Economic Advisory Council, headed by Bibek Debroy, member of the Federal think tank NITI Aayog, met for the second time on Friday since its creation in September amid an economic slowdown and concerns over ‘jobless growth’. (PTI)

The EAC, headed by Bibek Debroy, member of the Federal think tank NITI Aayog, met for the second time on Friday since its creation in September amid an economic slowdown and concerns over “jobless growth”.

“The Council is also evolving the design of a new economy tracking monitor, linking economic growth indicators with social indicators for last mile connectivity,” a release issued by the council after the meeting said.

The council said it took stock of the prevailing economic situation and spelt out “a clear road map” for stepping up skill development, job creation and enhanced resource investment in the social sector – including for health and education and boosting infrastructure financing.

“It formulated far-reaching recommendations to guide the evolving framework for the fifteenth finance commission, including the incentivisation of states for achieving health, education and social inclusion outcomes,” the release said.

Debroy stressed on giving the “highest priority” to infrastructure financing with new mechanisms for risk coverage. He made a presentation on the subject.

The meeting also saw presentations from secretary, skill development, KP Krishnan who highlighted initiatives to reach out to youth and women.