BHUBANESWAR: The state government will have to borrow Rs 23,584 crore from different sources and repay Rs 4,707 crore during 2019-20 financial year to implement several welfare schemes including KALIA and Pucca Ghar Yojana though the finances have not looked up.
Though the government has placed a Budget of Rs 1,39,000 crore for 2019-20, it is heavily dependent on Odisha’s share in Central taxes and grants, which is likely to put a heavy burden on the State exchequer.
While the state share in Central taxes has been estimated at Rs 39,207 crore, the figure is likely to change as Odisha Budget was placed in the Assembly before the Union Budget. Besides, Central grants have been estimated at Rs 30,559 crore for implementation of different schemes.
Replying to a question during the ongoing Budget session of the Assembly, Finance Minister Niranjan Pujari said the debt burden on the State was Rs 79,866 crore by the end of 2018-19 and it is likely to cross Rs one lakh crore by 2019-20-end.
He said the government will repay Rs 4,707 crore to different lending agencies during 2019-20 as a result of which the total borrowing during the year will come down to Rs 18,877 crore.
The state government has estimated revenue receipts during the year at Rs 1,15,266 crore out of which Odisha’s own taxes are Rs 33,000 crore and non-tax receipts will be around Rs 12,500 crore.
However, the Minister, in his budget speech, had said there has been no slippage in achieving the fiscal parameters prescribed in Odisha Fiscal Responsibility and Budget Management Act, 2005 since its enactment.
Through effective resource mobilisation and expenditure rationalisation, the State has been able to generate investible fiscal space over the last 20 years, he said and added that it has been effectively utilised for creation of physical, social and human capital.