CM presents Budget estimate of Rs 5965 cr
Source: The Sangai Express
Imphal, July 07 2010:
Presenting the full budget of the State Government on the opening day of the Monsoon se-ssion today, Chief Minister O ibobi Singh, who also holds the Finance portfolio, has expressed that with the revision of pay and pensions based on the 6th Central Pay Commission, the pressure on non-plan expenditure is likely to increase during the current year and beyond.
While the Budget estimate of Rs 5965.24 crores for the 2010-2011 fiscal was placed before members of the House, which is an increase of 13 percent compared to revised estimates of the previous budgetary allocation, the CM pointed out that recommendation of the Central Pay Commission would mean unavoidable need for creation and filling up of a large number of posts and vacant posts respectively in key departments like police, health and education and district councils.
Out of the total budget estimates of Rs 5368.27 crores for the 2010-2011 fiscal, he said the revenue receipts are estimated as Rs 5368.63 with the capital receipts put at Rs 596.97 crores.
It is said that under the 13th Finance Commission, the total transfer of fund of the State will be Rs 13567.50 crores for the period 2010-2015, also an increase of 97 percent as compared to provision under the 12th Finance Commission.
The chief minister further informed the House that the Panchayati Raj institution, Municipalities and Autonomous District Councils will immensely benefit from the 13th Finance Commission recommendations with Rs 315.90 crores allocation for these local bodies.
He highlighted that Rs 51 crores meant for infrastructure development of ADCs will have to be earmarked from the 2011-12 fiscal.
While conceding that management of finances of a fiscally weak State like Manipur is a challenging task as bulk of the State expenses is dependent on funds doled out by the Central Government, the CM also pointed out that the total revenue expenditure has been estimated at Rs 4049.79 crores while capital expenditure is pegged at Rs 1896.21 crores which means a fiscal deficit estimate of Rs 282 crores.
He also explained that a full Budget is being presented this session as the Plan Size for 2010-2011 and the quantum of non-plan allocations for same fiscal, under the 13th Finance Commission award has been made available to the State Government.
Highlighting past achievements and elaborating future priorities, challenges and concerns of the SPF Government, Ibobi nevertheless asserted that no effort would be spared to address these challenges and concerns.
Further claiming that overall growth momentum since the past 5-6 years continues to be sustained, he pointed out that Gross State Domestic Product at present prices increased from Rs 5847.89 crores in 2007-08 to Rs 6343.73 crores in 2008-08 to an estimated Rs 6902.60 crores in 2009-2010 .
The Finance Minister in-charge also informed members of the House that with growing reluctance of the Central Government to meet non-plan gap through additional transfers and shortfall in the State's resources being inevitable, the SPF Government is left with no other option but to make all out effort to utilise (scarce) available resources carefully so as to mobilise additional tax and non-tax revenues on 'our own'.
Referring to provisions and fiscal adjustment of the 13th Finance Commission for the period 2010-2015, he statement that Manipur has to maintain revenue surplus and at the same time reduce fiscal deficit and outstanding total debt to 3 percent of 54.3 percent of the GSDP respectively by 2014-15 .
Amendment of Manipur Fiscal Responsibility and Management Rules as per the charted roadmap is necessary for availing the specific grants and benefits of loan write-off facility under the 13th Finance Commission award, said the Chief Minister.
With regard to resources of the State, he listed collections from VAT, power receipts and miscellaneous general services as potential sources out of which the CM expected that State's share in Central taxes and duties would be increased by over 58 percent that the revised estimated figure of 2009-2010 fiscal.
Ibobi also proposed an expenditure estimates for the current fiscal of Rs 5946 crores out of which Rs 3027.06 crores has been classified as non-plan expenditure, Rs 2600 crores under State plan and Rs 318.94 crores under Centrally Sponsored Schemes, Central Plan Schemes and NEC Schemes.
He, however, conveyed that provisions of CSS, CPS and NEC schemes are subject to changes as per actual releases during the ongoing financial year.
While enlisting completion of Khuga, Thoubal and Dolaithabi projects as top priority of the Government, he made equal stress on infrastructure development of health, education, water supply, sports and culture among other sectors where maximum attention would be given.
He also assured that adequate financial provisions would be earmarked for the welfare of Scheduled Tribes and Schedules Castes as well as OBCs and minorities.
Members of the State Assembly also observed two minutes silence in honour of Bhairon Singh Sekhawat the former vice-President of India who passed away during the intervening period of the house.