The Hindu : Other States / Haryana News : Haryana Govt. presents interim budget

Online edition of India's National Newspaper
Thursday, Mar 24, 2005

Other States

Other States - Haryana

Haryana Govt. presents interim budget

By Our Special Correspondent

CHANDIGARH, MARCH 23. The Haryana Finance Minister, Birender Singh, today presented a Vote on Account of Rs. 5,360.95 crores for the first three months of the year 2005-06 in the Haryana Assembly which was later adopted and the House adjourned sine die.

Mr. Birender Singh said that the full budget would be presented to the House in its next session. He said that adequate provisions had been made for seasonal requirements and other commitments like calamity relief works, food procurements, drainage and flood control, debt-servicing and so on.

While speaking on the status of State finances, he expressed concern over the rising revenue and fiscal deficits and debt burden. He said: "Finance accounts for the year 2003-04 have reported a fiscal deficit at Rs. 2,933 crores. The debt liability has reached the level of Rs. 27,485 crores including State guarantees of Rs. 5,869 crores on March 31, 2004, as a result, the interest payments have increased to Rs. 2,113 crores. The consolidated debt stock constitutes 36.66 per cent of the GSDP. Growth in these fiscal indicators needs to be checked and contained. A composite strategy of revenue augmentation, expenditure containment and debt management would need to be followed to achieve fiscal stability.''

He spoke about the need for fiscal reforms through a composite strategy of revenue augmentation, expenditure compression and debt management besides toning up and streamlining of the tax administration with the dual objective of public convenience and raising revenues. While alleging that the Value Added Tax (VAT), which is a buoyant and transparent tax system, had been misdirected by the previous Government, he said that he would review various aspects of VAT. The excise policy of the Chautala regime had been reversed and cartelization and monopolistic regime in liquor auctions had been done away with.

Mr.Birender Singh said that the main thrust would be on building and improvement of economic and social infrastructure in power, irrigation, roads, education, health and so on to generate economic activities and gainful employment opportunities.

While according high priority to agriculture he proposed to make innovative changes by way of diversification of cropping pattern, marketing of agricultural produce at remunerative prices, introducing crop insurance scheme and adequate provision for agricultural credit. A revolving fund would be set up to facilitate the farmers and the agricultural labourers to get loans at lower rates of interest. Information would be provided about the rates of different commodities in various parts of the country.

Rapid industrial growth duly backed by supportive policies and conducive investment climate would be the mantra of the Congress regime, he added. The working of the power utilities would be strengthened and transmission and distribution losses would be reduced. "We also propose to re-orient the existing thermal power plants, modernise their functioning and improve the plant load factor''. He reiterated that the State Government was committed to bring Ravi-Beas water to Haryana on priority by vigorously pursuing the matter before the Supreme Court and the Union Government.

Mr. Birender Singh further said that various schemes would be introduced for child development, women empowerment and welfare of ex-servicemen and freedom fighters. He also focused on urban development and empowerment of local bodies through transfer of financial and administrative powers to them.

He said that the GSDP of the State at current prices recorded a growth of 12.8 per cent to Rs. 74,970 crore in 2003-04 from Rs. 66,455 crores in 2002-03. The per capita income at current prices increased to Rs.29,963 in 2003-04 from Rs. 26,974 in 2002-03.

He said that the Government was concerned about the welfare of its employees and would consider favourably various problems being faced by them. The backlog of Government jobs reserved for scheduled castes and backward classes would be cleared and the reservation policy would be implemented in letter and spirit.

Meanwhile, the Deputy Chief Minister, Chander Mohan, assured the farmers that adequate number of purchase centres would be set up for purchase of mustard to enable them to get remunerative prices for their produce.He was replying to Call Attention Motion by Congress MLA and former Minister, Karan Singh Dalal, on the issue of distress sale of mustard by the farmers.He said that during the current Rabi season, about 10.40 lakh Metric Tonnes of mustard, which had been sown over an area of 5.56 lakh hectares, would be purchased.

He added that the Government of India had fixed Rs.1, 700 per quintal as Minimum Support Price for the purchase of mustard for the current season.

Printer friendly page
Send this article to Friends by E-Mail

Other States

News Update

Stories in this Section

Haryana Govt. presents interim budget

Hooda declares all-out war on TB