Punjab budget for 2019-2020 includes no new taxes; proposes hike of 9-36% in funds for agriculture, health and education sectors
Badal further informed Punjab Assembly that as against the allowed net borrowing limit of Rs 17,335 crore for financial year 2019-20, the debt servicing is a whopping Rs 30,309 crore.
The total outstanding debt of Punjab has been projected at Rs 2,29,612 crore for 2019-2020
Punjab Finance Minister Manpreet Singh Badal blamed the Akali-BJP government for its 'irresponsible fiscal actions'
Badal pegged the revenue deficit and fiscal deficit at Rs 11,687 crore and Rs 19,658 crore, respectively, for 2019-20
Chandigarh: Punjab Finance Minister Manpreet Singh Badal Monday presented the state budget for 2019-20 with a total outlay of Rs 1,58,493 crore with no new taxes.
Focusing on agriculture, health, education and rural and urban infrastructure, the budget proposed hikes in the range of 9-36 percent in the allocation of funds for these sectors.
The total outstanding debt of the state has been projected at Rs 2,29,612 crore for 2019-20 as against Rs 2,12,276 crore for 2018-19 (revised estimates).
However, Badal blamed the previous Akali Dal-BJP government for its "irresponsible fiscal actions" for the accumulated debt.
Badal further informed the state assembly that as against the allowed net borrowing limit of Rs 17,335 crore for financial year 2019-20, the debt servicing is a whopping Rs 30,309 crore.
"The servicing of the state's huge debt pre-empted its major revenue receipts, leaving it with little resources for credible efforts," said Badal.
The finance minister pegged the revenue deficit and fiscal deficit at Rs 11,687 crore (2.02 percent of GSDP) and Rs 19,658 crore (3.40 percent of GSDP) for 2019-20.
Among new announcements, Badal said a new policy 'Make in Punjab' was being drafted to promote goods manufactured and produced in the state. A new iconic sports complex will be set up at Jalandhar and old age homes will come up at Barnala and Mansa.
For farm debt waiver, Badal proposed an allocation of Rs 3,000 crore for the year 2019-20.
"Our government in the next phase of implementation of the scheme, will waive off the loans of landless farm labourers and the families of farmers who have been forced to commit suicides," said Badal.
Choosing not to levy additional taxes in the budget, Badal hoped that the improved efficiency in tax compliance and administration and efficient delivery of public services would lead to economising on expenditure and close the gap.
"When I presented the first budget of this government in 2017-18, there was an unfunded gap of Rs 10, 273 crore which was brought down to Rs 4,175 crore in 2018-19. While we see a small carry forward of our liabilities to the next year, for 2019-20, there is now much reduced unfunded gap of Rs 2,323 crore," Badal said in his speech.
The total revenue receipts has been estimated at Rs 78, 510 crore for next financial year as against Rs 70, 399 crore for 2018-19. "The total receipts of the state have been pegged at Rs 1, 54, 170 crore," Badal said.
Meanwhile, the budget speech saw disruption for some time as SAD-BJP legislators shouted slogans against state minister Navjot Singh Sidhu for his utterances following the Pulwama terror attack.
SAD-BJP MLAs raised slogans against him in the well of the house. Despite the speaker urging them to go back to their benches, they refused to budge. Later, the speaker "named" all the SAD-BJP legislators for disrupting the budget speech and adjourned the house for some time.
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Punjab wastes chance to frame path-breaking farm laws; neglects ancillary workers, protects land holding farmers
In a quest to oppose what the state considers as Centre's hegemony, Punjab brings out three farm bills but crippled with bureaucratic clog and little creativity.
The bills provide for imprisonment of not less than three years for the sale or purchase of wheat or paddy below MSP, seek to prevent hoarding and black-marketing of agricultural produce, and to exempt farmers from the attachment of land up to 2.5 acres.
The Punjab chief minister said he was uneasy and upset over the situation and wanted to understand the Centre's decision to cause such 'suffering' to farmers amid the COVID-19 crisis