Fiscal Health Index (FHI) NITI Aayog has released the second edition of its ‘Fiscal Health Index (FHI)’ in 2026 to assess the fiscal performance of Indian states. The index is a framework designed to assess the fiscal sustainability of states, improve transparency and support data-based fiscal policymaking. State governments account for nearly one-third of India’s total public debt. Only 18 major states were assessed in the first edition. The new edition also includes 10 states from the North-East and the Himalayan region. Gujarat, Maharashtra, Chhattisgarh, Telangana, Uttar Pradesh and Karnataka are in the ‘Front Runner category’ of the Fiscal Health Index 2026.
REPORTS AND INDICES
Fiscal Health Index (FHI) NITI Aayog has released the second edition of its ‘Fiscal Health Index (FHI)’ in 2026 to assess the fiscal performance of Indian states. The index is a framework designed to assess the fiscal sustainability of states, improve transparency and support data-based fiscal policymaking. State governments account for nearly one-third of India’s total public debt. Only 18 major states were assessed in the first edition. The new edition also includes 10 states from the North-East and the Himalayan region. Gujarat, Maharashtra, Chhattisgarh, Telangana, Uttar Pradesh and Karnataka are in the ‘Front Runner category’ of the Fiscal Health Index 2026.
