A major challenge faced by the Mizoram budget is:

The correct answer is: a) High fiscal deficit.

A fiscal deficit is the difference between a government’s revenue and expenditure. A high fiscal deficit can be a major challenge for a government, as it can lead to a number of problems, such as:

• Inflation: When a government spends more money than it takes in, it has to borrow money to make up the difference. This can lead to an increase in the money supply, which can cause inflation.
• Debt: A high fiscal deficit can also lead to a government accumulating a large amount of debt. This can make it difficult for the government to borrow money in the future, and can also lead to higher interest rates.
• Economic instability: A high fiscal deficit can also make the economy more unstable. This is because it can lead to fluctuations in the value of the currency, and can also make it more difficult for businesses to plan for the future.

The other options are not as major challenges faced by the Mizoram budget.

• Low revenue generation: While low revenue generation can be a challenge, it is not as major a challenge as a high fiscal deficit. This is because there are a number of things that a government can do to increase revenue, such as raising taxes or increasing the efficiency of tax collection.
• Limited natural resources: While limited natural resources can be a challenge, it is not as major a challenge as a high fiscal deficit. This is because there are a number of things that a government can do to develop its economy without relying on natural resources, such as investing in education and infrastructure.
• High population growth: While high population growth can be a challenge, it is not as major a challenge as a high fiscal deficit. This is because there are a number of things that a government can do to manage population growth, such as investing in family planning and education.