Ch’garh in a better position in terms of financial mgmt compared to national level: CM

Central Chronicle News
Raipur, Mar 04: Chief Minister Bhupesh Baghel, while replying to the general discussion on the budget for the financial year 2021-22 in the Vidhan Sabha today, said that despite the challenges of Corona pandemic, the financial management of Chhattisgarh is in better position than the national level. Our economic situation will be even better next year. The Chief Minister said that 7.7 percent reduction in GDP is estimated at the national level, while in Chhattisgarh it is estimated to decrease by 1.7 percent. Similarly, a decrease of 5.41 percent in per capita income has been registered at the national level, while in Chhattisgarh only a decrease of 0.14 percent is estimated. Chhattisgarh is also in a better position in the percentage of interest payments of revenue receipts. While the interest payment at the center level is 35 percent of the revenue receipts, in Chhattisgarh this ratio is only 8 percent. The net loan to be taken next year in the Union Budget is 26 percent of the total budget, while in Chhattisgarh it is 14 percent. In the Union Budget 2021-22, revenue receipts are projected to decrease by 11.5 percent, while Chhattisgarh’s revenue receipts are estimated to be the same as last year. Bhupesh Baghel said- When the economies of the country and the world have come down, we have been comparatively less affected this year during the time of Corona pandemic due to our efforts in Chhattisgarh
The fiscal deficit in the Union Budget is estimated at 9.5 percent of GDP and 6.4 percent next year. In the revised estimates of the budget of Chhattisgarh, it is estimated at 6.5 percent this year and 4.5 percent next year, which is 03 percent less this year than the Center and 02 percent next year. The revenue deficit of the Center is estimated at 7.5 percent of GDP this year and 5.1 percent next year, while our revenue deficit is estimated at 3.5 percent this year and only 01 percent next year. Thus, the revenue deficit of the state is also lower by 04 percent this year and next year from the center. Both of these losses in this year and in the next year are due to huge reduction in revenue from Center to state (Rs 12 thousand 132 crore) and GST compensation (Rs 3109 crore) in the form of loan instead of grant.
Chief Minister Bhupesh Baghel said that if GST had not been imposed, we could have recovered the amount in VAT. 50% of the taxes levied in the GST goes to the Center and 43% is provided to the states. Being a productive state, Chhattisgarh is incurring huge losses in this.
The Chief Minister said that we have put the poor man at the center of our budget. We have changed the elite oriented system of the previous government to common man oriented. We are down to earth. In our government, loan of Rs 8734 crore 50 lakh of 17 lakh 96 thousand farmers of Chhattisgarh was waived.
The Chief Minister said that about Rs 18000 cr were not given by the central government, due to which the loan had to be taken. Chhattisgarh had a loan of Rs 63147 crore in the year 2019-20, which is 18.03 percent of the gross domestic product. Whereas for the year 2020-21, so far, a loan of Rs 72012 cr has been taken, which is 20.5% of the gross domestic production.
Bhupesh Baghel said that there has been no reduction in budget allocation to various departments. In the budget of public health and family welfare, the previous government had made a provision of Rs 3445 cr in the year 2018-19, whereas we have made a provision of Rs 3998 cr in the year 2020-21 and Rs 4088 cr in the year 2021-22.
Comparing the budget of the Central and State Government, the Chief Minister said that the Union Government increased the budget of agriculture by about 2.03 percent as compared to the previous year, while in Chhattisgarh, about 09 percent of the total budget was provisioned for agriculture, which It is about Rs 9000 cr. Similarly, the central government cut the budget of the health department by about Rs 7843 cr as compared to the previous year, whereas we have increased by Rs 100 cr compared to the previous year. The central government has reduced the budget for rural development by Rs 21 thousand 709 cr, while we have made a provision of Rs 8828 cr, which is about 09 percent of our budget.
Bhupesh Baghel said that 21.52 lakh farmers had registered for paddy sale this year on support price, out of which 95 percent farmers sold paddy. He said that this government is the government of farmers, we will continue to work in the interest of farmers. Despite the constant hurdles of the central government, a provision of Rs 5703 cr has been made in the Rajiv Gandhi Kisan Nyay Yojana in this budget.
Regarding capital investment in the industrial sector, he said that the previous government had signed MoUs worth Rs 93,000 cr. but the actual investment was only Rs 2000 cr. 154 MoUs have been signed due to our new industrial policy, out of which investment of Rs 56000 cr is expected. He said that for the first time in the country, 16 thousand investors’ money was returned from Chitfund companies.
The Chief Minister said that there has been a 25.9 percent reduction in malnutrition due to the Chief Minister’s Nutrition Campaign. He said that health, education and employment are our priority. Also, whether it is a matter of road-bridge, or the Pradhan Mantri Gramin Sadak Yojana, it has been ensured that there is no decrease in construction. He said that illegal mining and illegal transportation of sand is being pursued promptly by the state government. Chief Minister said that the policy of ban on alcohol will be formulated with the consent of all, after studying the policies of various states. He said that in the year 2020-21, there was a decrease of 17 per cent in the revenue received from alcohol and 38.4 per cent in consumption from the previous year.