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Despite the current slowdown and constraints on revenue mobilisation, state governments that will seek fresh mandate this year have tried to present please-all budgets, with “inclusive growth” being the overriding theme.
Karnataka, Madhya Pradesh, Chhattisgarh, Rajasthan and Jammu and Kashmir will face elections this year. In budgets presented for the next financial year, all these states have given prominance to the vote-winning bijli-pani-sadak formula by making substantial allocation for infrastructure and agriculture. The industries and education sectors also got their share.
While Karnataka, Madhya Pradesh and Chhattisgarh are Bharatiya Janata Party (BJP)-ruled states, the Congress is in the driver’s seat in Rajasthan. A National Conference and Congress alliance government is ruling the Jammu and Kashmir.
The Jagtish Shettar-led BJP government in Karnataka, while presenting the Rs 1.17 lakh-crore budget, announced some new infrastructure projects for Bangalore. About Rs 6,203 crore would be provided for the development of Bangalore from the government and related organisations. Further, the state government has made an allocation of Rs 15,599 crore for the education sector.
The Madhya Pradesh government, which took credit for achieving a 12 per cent compound annual gross state domestic product growth rate, has presented a Rs 1.02 lakh-crore budget. The government has provided Rs 405 crore for the Atal Jyoti electricity scheme and proposed Rs 3,000 crore for feeder separation. The Shivraj Chouhan-led government has proposed the development of 90,000 km roads.
An industrial corridor through Shivpuri, Indore, Gwalior and Guna is also on the cards. It has proposed Rs 1,744 crore for drinking water. The government will spend Rs 4,147 crore on the health sector and Rs 432 crore on the Narmada-Kshipra link project.
The neighbouring Chhattisgarh government, which was the first state to implement its own food security Act even before the passage of a Central law, has presented a Rs 44,169 crore budget. Implementation of the food security scheme would cost the state exchequer Rs 2,000 crore annually.
Chief Minister Raman Singh, who also holds the finance portfolio, has presented a separate agriculture budget. The total outlay of Rs 8,542 crore for the agriculture and allied sector amounts to 19 per cent of the budget and saw a phenomenal growth of 37 per cent over last year. The government has also proposed an 18 per cent increase in the road sector.
Other pro-poor initiatives include the increase in the ceiling for free electricity consumption for below poverty line (BPL) consumers from 30 units to 40 units per month per consumer, which will benefit 1.4 million families and cost the state nearly Rs 45 crore. A pension scheme for the unorganised workers has also been introduced
Chief Minister Ashok Gehlot of Rajasthan has presented a Rs 336-crore surplus budget. The government has promised no hike in electricity bills for farmers and BPL families. Compact fluorescent lamps (CFL) will be provided to 50,000 BPL families for free. Further, all villages with a population of over 250 would be connected. The state government will spend Rs 650 crore on 6,000 km of roads in rural areas.
Jammu & Kashmir did also follow other poll-bound states in announcing welfare measures. State finance minister Abdul Rahim Rather presented the Rs 38,068 crore zero deficit budget by announcing welfare measures such as medi claim insurance for migrants and hike in daily wages. For empowerment of Panchayati Raj institutions, Rather said a provision of Rs 231 crore would be made for devolution to panchayats.
ELECTION FESTIVITIES
Inclusive growth seems to be the overriding theme this year for all the state governments seeking fresh mandate
KARNATAKA
Budget presented: Rs 1.17 lakh crore
- Rs 6,203 cr To be provided for development of Bangalore
- Rs 15,599 cr Allocation made by state government for education sector
Budget presented:Rs 44,169 crore
- Rs 2,000 cr Annual cost for implementation of the food security scheme
- Rs 8,542 cr Total outlay for agriculture and allied sector
Budget presented: Rs 1.02 lakh crore
- Rs 405 cr Provided for Atal Jyoti electricity scheme
- Rs 3,000 cr Proposed for feeder separation Proposal for development of 90,000-km roads
- Rs 1,744 cr Proposed for drinking water
- Rs 4,147 cr To be spent on health sector
Budget presented: Rs 336 crore-surplus
- Rs 650 crore To be spent by state government on 6,000 km of roads in rural areas
Budget presented:Rs 38,068 crore
- Rs 231 crore Provision for devolution to panchayats
