The correct answer is (c). The Fiscal Responsibility and Budget Management Act (FRBM) was enacted in India in 2003. The FRBM Act is a legislation that aims to promote fiscal discipline and transparency in the management of the government’s finances. The Act sets out a medium-term fiscal framework for the government, and it also establishes a Fiscal Responsibility Council (FRC) to monitor the government’s compliance with the Act. The FRBM Act has been successful in reducing the fiscal deficit and improving the government’s debt position. However, there are some challenges that need to be addressed in order to make the Act more effective. These challenges include the need to improve the quality of public expenditure, the need to strengthen the FRC, and the need to improve coordination between the central government and the state governments.
The other options are incorrect. Option (a) is incorrect because the FRBM Act was enacted in 2003, not 2007. Option (b) is incorrect because the FRBM Act was enacted in 2003, not 2005. Option (d) is incorrect because the FRBM Act was enacted in 2003, not 2002.