Vote-on-account Budget focuses on farm, welfare

CM assures there will be balanced development of all sections.

Hyderabad: Giving priority to agriculture, irrigation and welfare, Chief Minister K. Chandrasekhar Rao on Friday introduced a vote-on-account Budget in the Assembly with a total outlay of Rs 1, 82, 017 crore for the financial year 2019-20.

Of this revenue expenditure is Rs 1,31,629 crore and the capital expenditure is 32, 815 crore. While the revenue surplus is estimated at Rs 6,564 crore, the fiscal deficit is expected to be Rs 27,749 crore which works out to 2.81 per cent of the Gross State Domestic Produce (GSDP).

Maintaining that the Budget will ensure the balanced development of all sections, Mr Rao said that the State’s Own Tax Revenue for 2019-20 is estimated at Rs 94,776 crore compared to the 2018-19 figure of Rs 72,777 crore. He said this year the transfers from the Centre were likely to dip to Rs 22,835 crore from Rs 28,042 crore in 2018-19.

In the accounts presented for 2018-19, the total expenditure as certified by the Accountant General, was Rs 1,43,133 crore and the revenue receipts were at Rs 88,824 crore and expenditure on revenue account was Rs 85,365 crore. The revenue surplus was Rs 3,459 crore while the capital expenditure was Rs 23,902 crore.

Mr Rao told the House that the Pragati Paddu (development account) proposed is Rs 1, 07,302 crore while the Nirvahana Paddu (governance account) is Rs 74,715 crore.

He said as per the revised estimate, the total expenditure for 2018-19 was estimated at Rs 1,651,857 crore of which Rs 1,19,027 was for revenue expenditure with Rs 28,053 crore spent on capital expenditure. The estimated revenue surplus on revenue account was Rs 353 crore.

The Chief Minister said after formation of the state, the growth rate more than doubled to 10.6 per cent in 2018-19 and this is indisputable proof that his government has done a lot more in the very short period of less than five years in putting the economy on a higher growth trajectory.

Claiming that the TRS government was not deterred by the initial crisis in the power, farming, and industrial sectors, and also the slow pace of the economy, Mr Rao said, “We started our difficult and challenging journey of rebuilding and reinventing Telangana.”

He said that the average annual GSDP growth rate of Telangana region at constant prices in the combined state was barely 4.2 per cent in the two years (2012-13 and 2013-14) immediately preceding the formation of the new state, as compared with the national average of 5.9 per cent.

He maintained that the GSDP growth at current prices had improved from 14.2 per cent in 2016-17 to 14.3 per cent in 2017-18 and with this trend, the state was estimated to grow at 15 per cent in 2018-19 as against the national growth average of 12.3 per cent.

The chief minister assured the House, “While continuing all development and welfare schemes, the government proposes to introduce new schemes as per the promises made during the elections.”

“Telangana is growing by leaps and bounds in its State’s Own Tax Revenue in comparison with others. The average SOTR growth rate in the first four years after formation was 17.71 per cent, catapulting Telangana state to the number one position in the country,” he said.

He claimed that prudent fiscal management and clamp down on corruption were the main reasons for the phenomenal growth.

He also claimed that Telangana state again leads the country in capital expenditure as a proportion of total expenditure and in 2016-17, capital expenditure was pegged at 28.2 per cent.

Citing an example of effective utilisation of funds by Telangana state, he said, “In undivided AP, the total capital expenditure in 23 districts, from 2004-05 to 2014, was Rs 1,29,683 crore. The capital expenditure incurred on Telangana region was only Rs 54,052 crore during the same period. But within a short period of four-and-a-half years from 2014 to 2019, the capital expenditure stands at Rs 1,68,913 crore. This is a symbol of progress.”

( Source : Deccan Chronicle. )
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