Economic Stabilisation Fund 2026: ₹57,381 Crore Shock Buffer
Why in the news
To cushion the economy from external shocks, the Centre earmarked ₹57,381 crore for a special Economic Stabilisation Fund.
Key facts
- Allocation: ₹57,381 crore; created by Ministry of Finance.
- Guards against: oil price shocks (for example $100 per barrel), energy shortages, supply chain disruptions and geopolitical conflicts.
About the fund
- A special fiscal mechanism that acts as a financial buffer in economic shocks.
- Gives stability without disturbing the Union Budget.
- Used for unexpected expenditure.
Exam angle
- Fund size: ₹57,381 crore.
- Funding route: Supplementary Demands for Grants.
- Nodal ministry: Finance.