Constitutional text

(1) If the President is satisfied that a situation has arisen whereby the financial stability or credit of India or of any part thereof is threatened, he may by a Proclamation make a declaration to that effect. (4) During the period any Proclamation issued under this article — (a) the executive authority of the Union shall extend to the giving of directions to any State to observe such canons of financial propriety as may be specified in the directions, and to the giving of such other directions as the President may deem necessary and adequate for the purpose...

Source: Constitution of India, as published by the Ministry of Law and Justice.

History and context

Article 360 has never been invoked. The provision was modelled on emergency provisions in the Canadian and Australian constitutions. It was most seriously discussed as a possibility during India's 1991 balance-of-payments crisis, which was resolved through an IMF loan and economic reforms under Finance Minister Manmohan Singh. Critics argue the provision concentrates enormous power in the Centre and could be used to strip state governments of fiscal autonomy.

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Last reviewed: 3 July 2026