<h1>2009 Economic Stimulus: States' Borrowing Limits Raised to 3.5% of GSDP, Revenue Deficit Targets Relaxed for Growth.</h1> In 2009, the Ministry of Finance relaxed fiscal deficit targets and borrowing ceilings for states as part of an economic stimulus package. States were allowed to borrow up to 3.5% of their Gross State Domestic Product (GSDP) for capital expenditures, with an additional 0.5% for those needing more funds, amounting to approximately Rs 30,000 crore. The requirement to eliminate revenue deficits was also relaxed. States maintaining a 3% fiscal deficit in 2009-10 retained Debt Consolidation and Relief Facility (DCRF) benefits. The Finance Minister announced an extension of these relaxations into 2009-10 to support infrastructure and employment growth.