Experts are of the view that India's fiscal deficit will widen as a result of the corporate tax reduction by the government.
The YSRC government had decided to cancel those engineering works sanctioned before April 1, 2019, but not grounded.
The paper, tabled in the assembly, warned that the state was headed for a financial crisis and blamed the previous UDF Government under Oommen Chandy for the mess.
Officials said large public sector companies have already been asked to front-load their capital expenditure plans to spur spending.
The revenue receipts during the entire year have been pegged at Rs 19.77 lakh crore.
Committed to fiscal consolidation without compromising on expenditure: Finance Minister Nirmala Sitharaman
Sitharaman said several steps including enhancing investments in infrastructure, liberalisation in the foreign direct investment policy and lowering of corporate tax are being taken.
The agency said that the budget indicates that the BJP will continue its economic reform efforts in its second term and avoid the fiscal loosening.
The Budget has set a target of 17.5 per cent growth in direct taxes and about 15.5 per cent growth in indirect taxes.
'The fiscal path of the government in the last five years had been exemplary. We are confident about achieving the fiscal targets,' Finance Minister Nirmala Sitharaman said.
The combined deficit was 6.4 per cent in FY18. This is a decade-low and the third-lowest on record since 1990s.
The Indian government is short of credibility at the moment, buffeted as it is with questions about the accuracy of its GDP estimates. Making sure that her sums add up should be Sitharaman’s priority
Despite a lower number than last year, the finance minister will have a daunting task to fuel economic growth that is slowing down.
Total receipts include Net Tax Revenue to Centre (Rs 71,637 crore), Non Tax Revenue (Rs 23,293 crore) and other receipts (Rs 2,701 crore).
Bihar has obtained the highest score of 66.5 out of 100 in fiscal performance index (FPI). West Bengal, Punjab and Kerala have slipped to lower positions.
Also, the sub-6 per cent figure was a touch-and-go, and may overshoot to 6.2 per cent in FY19.