Begin typing your search above and press return to search.

CM tables Rs 1, 236 cr deficit budget in Assembly

Sentinel Digital DeskBy : Sentinel Digital Desk

  |  16 March 2017 12:00 AM GMT

From A Correspondent
SHILLONG, March 15: Meghalaya Chief Minister Dr Mukul Sangma on Wednesday tabled a Rs 1, 236 crore deficit budget for 2017-18. Dr Sangma who also hold the Fince portfolio while presenting the Budget said that the fiscal deficit of Rs 1, 236 crore, is around 3.8 percent of the GSDP.
Presenting the Budget estimates in the House, the Chief Minister said that while the estimated total receipts stands at Rs 12, 510 crore, of which the revenue receipts are estimated at Rs 11, 280 crore and capital receipts at Rs 1, 230 crore. Excluding borrowings, the total receipts are estimated to be Rs 11, 302 crore.
Meanwhile, on the expenditure side, while the estimated total expenditure is Rs 12, 873 crore during 2017-18, of which revenue expenditure is estimated at Rs 10, 648 crore and capital expenditure at Rs 2, 225 crore. Excluding repayment of loans, the estimated total expenditure is Rs 12, 538 crore.
As the expenditure is more than the revenue, the deficit budget stands at Rs 1,236 crore.
However, the interest payment during 2017-18 is estimated at Rs 589 crore and pension payment at Rs 730 crore.
The Chief Minister, in his Budget speech, said that for the year 2017-18, total revenue of the Government is projected at Rs 2, 072 crore, of which the state’s own tax revenue is estimated at Rs 1559 crore and state’s own non tax revenue at Rs 513 crore.
The maximum allocation of funds under the Budget is for Community and Rural Development Rs 1731.57 crore, Education, Rs 909.94 crore, Health and Family Welfare Rs 420.93 crore and in the infrastructure sector, Rs Rs 712.80 crore has been proposed for roads and bridges.
Dr Sangma in his Budget speech also said that in order to mobilize additiol resources, the excise in various segments of beer, IMFL/Extra Neutral Alcohol (E) and different categories of IMFL products have been revised.
The Chief Minister also said that the license fee for various categories of bonded warehouses has also been revised. The export fee for IMFL products have also been reduced to give a boost to export. The license fee for “OFF” retail licenses and various type of bar licenses has also been revised.
Meanwhile, the fee for compounding and blending, reduction and bottling, distillery and brewery, VAT on liquor, late closing fees for hotels, restaurants and bars have been revised.
The rate of tax across all slabs under the Meghalaya Passengers and Goods Tax ACT has also been increased while tax structure on cigarettes and bidis has been ratiolized.
Dr Sangma said that the state’s own resources has been adversely affected consequent to the implementation of the recommendations of the Supreme Court Committee on Road Safety to impose the ban on the sale of liquor near the tiol and state highways and educatiol and religious institutions.
He also said that with the continuing impact of the NGT ban on coal mining, the revenue base of the state has been reduced considerably.
During his budget Speech, Dr Sangma informed that the year, 2016-17 was marked by two major tiol policy – firstly the passage of the Goods and Services Tax (GST) and secondly, the demonetization of the two highest denomition notes (Rs 500 and Rs 1000).
“However, this action which was sudden in ture, created panic amongst the people and with the required logistics not in place, it caused inconvenience to the common man in the country including our state,” Dr Sangma said on demonetization.
The Chief Minister also said that the 2017-18 budget merged the plan and non – plan outlays. Dr Sangma said that this will help the state government to ratiolize its budgetary allocations with a focus on the development expenditure and also synchronize the budgetary framework with that of the union government.
The Chief Minister said that the merger is expected to simplify and ensure an effective budgeting system.
“The process further needs to be streamlined and fine tuned, especially in the context of the revenue and capital,” Dr Sangma said.

Next Story