Andhra Pradesh presented a Rs.1.35 trillion budget for fiscal 2017 on Thursday. The size of the budget for 2016-17 was 20% higher than last year’s Rs.1.13 trillion.
- The state estimated the revenue deficit to be around Rs.4,868 crore in 2016-17, an 18% jump compared to Rs.4,140 crore the previous year.
- The fiscal deficit for 2015-16 was at Rs.17,004.91 crore, and is expected to be Rs.20,497.15 crore in 2016-17, the government said.
- The non-plan expenditure that goes towards payment of interest, subsidies, wages and pensions of employees was estimated to grow 10% to Rs.86,554.55 crore,
- Estimated plan expenditure on welfare, development and capital expenditure programmes was projected atRs.49,134.44 crore, an increase of 43%.
- The rise in plan outlay comes on the back of higher allocations to the irrigation and near-doubling of the outlay for the social sectors.
- The government has raised the plan outlay for the irrigation sector to Rs.7,325 crore, of which Rs.3,660 crore has been allotted to the Polavaram multi-purpose dam on the Godavari river.
- The plan outlay for social sectors, including housing, has been increased to Rs.21,556.97, while outlay for agriculture and allied sectors is at Rs.16,250.58 crore.
- The state government said the state continues to carry the revenue deficit of Rs.13,897 crore, an overhang of 2014-15, as a consequence of “irrational bifurcation of the state”.
- The government allotted Rs.1,500 crore towards building the new capital in 2016-17. The Rs.1,500 crore would be used as seed equity to enable the Capital Region Development Authority (CRDA) to mobilise additional resources required for capital construction from infrastructure financing institutions and the market, Ramakrishnudu said.
There were some bright spots in the budget.
- The state registered a growth rate of 10.9% in 2015. Agriculture registered a growth of 8.4%; the services sector recorded a growth of 11.39%; and industry grew at 11.13%.
- The per capita income of the state has crossed the Rs.1 lakh threshold to reach Rs.1.07 lakh in 2015, the government announced.