Rs 58,444 Cr. HP budget outlay for 2024-25, state debt Rs 87,788 Cr
Photo used for indicative purpose only. Source Internet
Shimla, Feb 17
Himachal Pradesh Chief Minister Sukvinder Singh Sukhu presented budget outlay of Rs 58444 Crore for the Financial year 2024-25 the budget announcements were made to focus on forthcoming Lok Sabha election including increase in the minimum support prices on the wheat and MSP on Milk and Maize crop was also introduced.
Chief Minister Sukhvinder Singh Sukhu who also holds the portfolio of finance presented his 2nd budget which mainly focused on number of new announcements targeting vulnerable sections
farmers, women and employees and members of Panchayati Raj institutions. The budget seemed to be moved away from the entitlement to empowerment and rural and employees centric.
The total outlay estimated to be Rs 58444 Crore for FY 2024 -25. The budget estimates total receipts to Rs 42153 Cr and revenue expenditure of Rs 46667 Cr . The revenue deficit is likely to be around Rs 4514 Cr and fiscal deficit at Rs 10, 784 Cr. The fiscal deficit is expected to be 4.75 pc of the state Gross domestic product.
According to the budget out of every 100 rupee Rs 25 would be spent on the Salaries, Rs 17 on pension and Rs 20 on the interest and loan repayment , Rs 10 on grants for autonomous institutions while Rs 28 to be spent on the other developmental and capital activities.
According to 2023-24 revised estimates the state had revenue receipts of Rs 40446 Cr and Revenue Expenditure tune to Rs 45.926 Cr and revenue deficit of Rs 5480 Cr.
Chief minister stated that whooping debt increased due to twin reasons including delay in recommendation of sixth pay commission and slowdown in the economy due to lack of resources. He said that increase in the loan liabilities state debt increased to Rs 87,788 Cr. The Chief Minister said that state debt liabilities have increased from Rs 47,906 Cr to Rs 76651 Cr in 2023.
He said that in the past 14 months the government took tough decisions, resource mobilizations and change in the state excise policy helped the state to record 23 per cent growth in the revenue. He said that state expecting increase of Rs 359 Cr in the revenue in the excise moreover VAT revenue likely to remained Rs 1773 Cr which is 403 Cr more than the previous year.
He said that state excise duty and VAT is likely to increase by 22 percent and the state would get an estimated revenue of Rs 116 Cr through the Milk Cess. However no increase is proposed in the current levies and no new tax was levied.
He said that excise auctions help the state to increase the reduction of revenue due to the renewal policy of the previous government. He said that increases in the revenue would boost up the rural economy as 69 pc population residing in the village always remained untouched from the benefit of the budget.
State Government proposed the RS 9990 Cr outlay for state development including Rs 2526 Cr in Scheduled caste, Rs 899 Cr for Tribal Development and RS 110 Cr backward Development
programme. Outlay of Rs 9560 Cr for Education sector, Rs 4317 Cr on road and bridges, Rs 3415 Cr was assigned for Health sector, Rs 3365 Cr for Jal Shakti vibhag, Rs 2457 Cr woman and Child Development and welfare of Workers, Rs 2356 Cr for Panchayat Raj institutions, Rs 834 Cr for Forest Department, Rs 580 Cr outlay is proposed for Agriculture, 531 Cr for Horticulture , Rs 330 Cr for Technical education and Rs 200 Cr for food subdiy
The Chief Minister said that the state would release the four per cent dearness allowance to state employees from April 1, 2024 as about Rs 580 Cr would be spent on this.
Besides this employees would get payment of arrears related to salary and pension of all employees and pensioners started in the phased manner and payment of arrears related to leave encashment and gratuity from January 1 2016 to December 31, 2021 from March 1 , 2024. The Chief Minister also said that employees of the state can LTC twice in a year from April 1 . 2024.
The Chief Minister also hiked the daily wage of the workers by Rs 25 per day increasing it to Rs 400. Similarly the Daily wage of MGNREGA workers has been hiked by Rs 60 to 300 now. .
Seven new schemes are launched in the budget making it mainly rural centric . Chief Minister said that it when farmers are on the road to demanding MSP his government made a new beginning by increasing MSP on the wheat from Rs 23 per kg to Rs 40 per kg ( one the wheat produce through organic means) Rs 20 per kg MSP was introduced on the Milk and Rs 45 per kg (Cow) and Rs 55 (buffalo) milk.
In the state 1.15 lakh employees opted for Old pension schemes and the state government issued shifting of pay and pensions orders of 5000 employees in the state .
To provide self employment budget outlay would provide RS 680 Cr under Rajiv Gandhi Swwarozgar yojana as 50 percent subsidies would be provided to purchasing e-taxies and Solar panel upto 500 kw.
Chief minister said that 2.37 lakh women would get the benefit of increased pension which is increased from Rs 1150 to Rs 1500 and benefits of pension scheme for all the women of Lahaul Spiti district would start from the current financial year
About the Author
The HimachalScape Bureau comprises seasoned journalists from Himachal Pradesh with over 25 years of experience in leading media conglomerates such as The Times of India and United News of India. Known for their in-depth regional insights, the team brings credible, research-driven, and balanced reportage on Himachal’s socio-political and developmental landscape.
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