Anam's Tax & Deficit Free State Budget

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Anam's Tax & Deficit Free State Budget
Anam's Tax & Deficit Free State Budget

Finance Minister Anam Ramanarayan Reddy presented a ‘tax and deficit free’ budget for the financial year 2011-2012 in the state Assembly on Wednesday, becoming only the second person from Nellore district to do so.

Mr Ramnarayan Reddy, who made the presentation amidst a ‘ring’ of marshals and Congress MLAs, said that the Rs 1,28,542 crore budget will see Rs 80,984 crore non-planned expenditure while Rs 47,558 crore would be planned expenses.


He also said that the estimated revenue surplus would be Rs 3,826 crore while the fiscal deficit was put at Rs 17,602 crore, 2.95 per cent of GSDP.

Mr Ramnarayan Reddy said that he expected the state to receive up to Rs 32,218 from the Centre (Rs 16,826 crore as the state’s share of central taxes and Rs 15,392 crore from the Centrally sponsored schemes).

He also expected another Rs 2,359 crore of the 13,919 crore which was recommended by the 13th Finance Commission for the state.

Though the Finance Minister state that the state government is committed to continue welfare schemes like the Rs 2 per kg rice, free power supply to the farmers, Rajiv Arogyasri, old age pensions, Indiramma housing,  pavala vaddi under Indira Kranthi Padham, Abhaya Hastham, reimbursement of tuition fee etc, he did not specify the revenue allocations for these schemes.

The Finance Minister said that the government was attempting to use the resources on hand juidiciousl and improve the productivity levels. He said that this was the rationale behind increasing the annual plan outlays. 

Mr Ramnarayan Reddy said that the total plan outlay for 2011-12 is Rs 47,558 crores out of which State plan is Rs 42,931 crores and centrally sponsored schemes account for Rs 4,627 crores.  

The Finance Minister said that he has provided adequate funds for all the welfare and development schemes in the proposed budget with a special emphasis on Education, Welfare, specially Minority welfare, Health, Infrastructure, Animal Husbandry and Youth Advance and sports sectors.  

Mr Ramanarayan Reddy also said that the stat government is committed to reduce the unemployment rate in the organized and unorganized sector. As part of this commitment, the government is looking at ways to increase employment opportunities, he said. 

Pointing out that Andhra Pradesh in the forefront in the implementation of Mahatma Gandhi National Rural Employment Guarantee Scheme, Mr Ramnarayan Reddy said that 1.19 crore house holds have been issued job cards in the rural areas with equal wages to both men and women.  He said that as much as Rs 14,069.90 crore have been spent to implement the employment scheme so far.

Another Rs 12,000 crore would be set aside for the scheme for the next three years he said.

Overall, irrigation, school education energy, agriculture, social welfare, medical and health and industrial sectors were given prominence in the budget allocations.

Irrigation: Rs 15,010 crore;
School  Education Rs 14,025 crore;
Higher Education – Rs 3,337 crore;
Medical and Health Department: Rs.5,040 crore,
Energy: Rs 4,980 crore; Social Welfare Department : Rs 2,352 crore;  Tribal Welfare: Rs 1,230 crore; BC Welfare : Rs 2,104 crore;  Minorities Welfare: Rs 301 crore; Women Development and Child Welfare: Rs 1,948  crore;  Rural Development: Rs 3,341 crore;  Rural Water Supply and Sanitation: Rs 773 crore;  Municipal Administration and Urban Development: Rs 5,080 crore; Implementation of Rajiv Yuva Shakti scheme  and other youth welfare activities: Rs 57.95 crore; Constituency Development: Rs 385 crore; Special Fund for development and Welfare activities: Rs 400 crore; Infrastructure and Investment: Rs 143 crore; Roads and Buildings: Rs 4,108 crore; Industrial Sector: Rs 858 crore; Agriculture Department: Rs .2,606 crore;  Animal Husbandry, Dairy Development and Fisheries: Rs 931 crore;  AP State Road Transport Corporation: Rs 200 crore and  IT: Rs 51 crore.