Growth rate pegged at 7.16 pc
Source: The Sangai Express
Imphal, February 25 2015:
Chief Minister O Ibobi who is also in charge of Finance Department today tabled an expenditure estimate of Rs 5517.46 crore in the State Assembly in order to enable the Government discharge its responsibilities and meet all essential expenditure during the first four months of 2015-16 .
Normal full budget could not be presented as the plan size for 2015-16 has not yet been finalized and the Central Finance Commission's recommendations are still unknown, Ibobi informed the House.
It is estimated that the State's economy would achieve a growth rate of 7.16 per cent in 2014-15.This momentum of economic growth can be enhanced after the State's annual plan size is finalized.
The ensuing year would be critical year for the State as the 14th Finance Commission's award period would commence from April 1, 2015.The State has already appealed to the Commission for greater devolution of funds, Ibobi stated.
Ibobi also highlighted potential challenges on the front of fiscal management such as the need to increase public investment for sustaining growth, very high expenditure on salaries and pensions, substantial increase in security expenditure and devolution of funds to local bodies based on the 3rd State Finance Commission recommendations.
He informed the House that the budget estimates for 2014-15 placed the total expenditure at Rs 9687.83 crore.
This has been increased by 1556.81 crore to Rs 11244.64 crore.
Out of the revised estimates, an amount of Rs 753.01 crore is charged expenditure under the consolidated fund of the State while the remaining amount of Rs 10491.63 crore is voted expenditure.
Non-plan expenditure for 2014-15 was placed at Rs 5189.68 crore and it was raised by Rs 426.09 crore to Rs 5615.77 crore after revision.
Even though the State's plan outlay for 2015-16 has not been finalized, the Chief Minister presented a tentative outlay comprising of provisional total expenditure of Rs 4933.10 crore under State Plan, Rs 251.85 crore under CSS and CPS, and Rs 5517.46 crore under non-plan.