Telangana suffered an general lack of Rs 52,750 crore within the present monetary yr 2020-21 as a result of influence of the Covid-19 pandemic, officers informed chief minister Okay Chandrasekhar Rao on Saturday.
Throughout a mid-term evaluate of the state’s monetary place held at Pragathi Bhavan, the officers instructed drastic cuts in budgetary allocations to varied departments this yr.
In accordance with a press release from the chief minister’s, the 2020-2021 finances proposals had been ready estimating that the state’s income progress fee could be 15%. “However as a result of Corona, the expansion didn’t attain 15% and quite the opposite the revues fell in comparison with final yr,” the officers mentioned.
In 2020-2021, it was estimated that the state would obtain Rs 67,608 crore revenue by means of taxes and non-tax sources and the finances proposals had been made accordingly. However as per the present estimates the probabilities for this yr are solely Rs 33,704 crore because the revenue. With this, the state’s personal revenue can be lowered by Rs 33,904 crore.
The officers mentioned the state authorities’s share within the Central taxes had additionally decreased significantly. Within the Union Finances it was talked about that for 2020-2021 monetary yr, the Centre would allocate Rs 16,727 crore to the State as its (State’s) share. In accordance with this, the state ought to get Rs 8363 crore for the monetary yr 2020-2021 from April to October. However the state obtained solely Rs 6,339 crore from the Centre. As on date there’s a discount of Rs 2025 crore within the taxes. By the tip of monetary yr 2020-2021, it’s estimated that the state would get Rs 11,898 Crore as a substitute of Rs 16,727 crore, which was its precise due. With this, the state would lose Rs four,829 crore, they mentioned.
Underneath a number of centrally sponsored and assisted schemes, the state has to get Rs 9,725 crore from the centre. By October, the state ought to have gotten Rs 5,673 crore, but it surely acquired solely Rs four,592 crore – a shortfall of Rs 1,081 crore from the Centre. By finish of this monetary yr, the state might get solely Rs eight,923 crore as a substitute of Rs 9,725 crore. Thus, there can be Rs 802 crore reduce within the centrally sponsored and assisted schemes’ funds.
Since there can be a shortfall of Rs 52,750 crore within the state’s general revenue, the chief minister instructed the officers involved to repair priorities accordingly and put together monetary administration plan.
The officers from the finance division additionally informed the chief minister that there had been no monetary help from the Centre to rehabilitate the victims of the latest rains and floods. The matter was talked about when the subject on the Centre’s help for the latest rains and floods got here up for dialogue on Saturday on the evaluate assembly.
Rao had written to Prime Minister Narendra Modi on October 15 stating that there was a lack of crops and properties to the extent of Rs 5,000 crore as a result of rains and floods and requested for launch of Rs 1,350 crore as a right away reduction.
“The President, Vice President and the PM have expressed their shock over the heavy rains and floods. They spoke with the CM and personally inquired in regards to the scenario. The Central staff additionally visited the state and assessed the scenario. In spite of everything this, we have now anticipated some help from the Centre. However as on date, not even a single rupee is launched,” the officers informed KCR as Rao can be recognized.