Arunachal Pradesh tops Fiscal Health Index among NE-Himalayan states

Arunachal Pradesh has topped the Fiscal Health Index (FHI) for 2023–24 among North Eastern and Himalayan states, according to a report released by NITI Aayog.

The think tank’s 2026 Fiscal Health Index for the financial year 2023–24 was released in New Delhi on Wednesday by NITI Aayog Vice Chairman Suman Bery.

The Fiscal Health Index is a comprehensive framework designed to assess and compare the fiscal performance of states. It provides an overview of each state’s fiscal strengths, weaknesses and overall financial profile.

According to the report, the index evaluates states on five key pillars — quality of expenditure, revenue mobilisation, fiscal prudence, debt index and debt sustainability.

The second edition of the FHI has expanded its coverage to include 18 major states and 10 North Eastern and Himalayan states, including Tripura, Meghalaya, Assam and Uttarakhand.

Reacting to the development, Arunachal Pradesh Chief Minister Pema Khandu congratulated the people of the state and said the recognition reflects the government’s commitment to responsible fiscal management.

“This recognition reflects the state's strong commitment to responsible fiscal management, improved revenue generation and better utilisation of public resources. Among the North-Eastern and Himalayan states, Arunachal Pradesh ranked first, followed by Uttarakhand and Tripura,” Khandu said in a post on X.

He added that the achievement would encourage the state government to further strengthen fiscal transparency and improve the quality of public expenditure.

“This achievement encourages us to further strengthen fiscal transparency, improve the quality of expenditure and continue working towards sustainable development for the people of Arunachal Pradesh,” the chief minister said.