In respect of the State Governments, in the absence of budgetary data on salary expenditure, the impact of FPC can be ascertained from its proxy taken as the non-plan revenue expenditure in social, economic and administrative services.
The impact was visible from the year 1999-2000 when the proxy indicator as a proportion to GDP rose from 6.6 per cent in 1998-99 to 7.0 per cent in 1999-2000 and 7.2 per cent in 2000-01, before declining back to 6.7 per cent in 2001-02.