Meanwhile, the state government has also cut provisions for some of the key departments, including power and industry. Bihar Deputy Chief Minister Sushil Kumar Modi, who also holds finance portfolio, presented a revenue surplus budget of Rs 92,087 crores in the state assembly on Thursday. While presenting the budget, he stated, "Bihar cannot remain unaffected by the general slowdown, which has entangled country's economy. The sale of vehicles and petroleum products is heading south. Our share in central taxes is also expected to take a dip." Later he added some rosy points in his budget speech, "However, we are still growing very fast. In this fiscal, we expect a growth rate of 9.5 percent, which is almost double of the national average. We still have revenue surplus of more than Rs 6,800 crores, which will help us in further development," he said.
However, the rosy points were limited in his budget, especially when it comes to taxes. The budget proposes an extensive increase in tax rates for different products. It proposes hike in tax rates for commercial vehicles. Tractors, trailers, two wheelers, cars, autos and buses will now cost more in the state. Modi said, "We have tried to tune our road tax rates with prevailing tax rates in neighbouring states. We still charge less in comparison to them."