Haryana aims 3 pc fiscal deficit in budget 2011-12

Posted By: Pti
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Chandigarh, Feb 4 (PTI) With revenue mobilisationshowing buoyancy, the Haryana government is now looking tocontain its fiscal deficit to 3 per cent of the Gross StateDomestic Product (GSDP) in the upcoming budget 2011-12.

"Our efforts will be to keep our fiscal deficit at 3 percent (of GSDP) in the coming budget, though in 2010-11,fiscaldeficit will remain under 4 per cent," Haryana FinanceMinister, Ajay Singh Yadav said here.

State''s fiscal deficit rose to Rs 8,360 crore (BudgetedEstimates) 2009-10 from Rs 6,557 crore in 2008-09 on the backof drop in revenue receipts and rising debt to meet salaries,pension expenses (of Rs 5,600 crore) due to economic slowdownin 2008. Haryana estimated fiscal deficit at Rs 8,816 crore in2010-11.

Haryana has projected debt liability going up to Rs44,516 crore (Budgeted Estimates) in 2010-11 against a debt ofRs 31,817 crore in 2008-09.

However, state has now managed to recover from poorfiscal performance with state initiating special drive tomobilise additional resources to meet its expenditure. Thegovernment raised its bus fare, road tax, power tariff,and VAT rates in last one year.

"We have mobilised additional funds of Rs 1,600 crorefrom our revenue mobilisation exercise," he said.

Moreover, state is anticipating tax revenues to go upto Rs 18,663 crore in 2010-11 from Rs 13,379 crore in 2008-09.

Yadav said that the main focus in the upcoming budgetwould be on health, infrastructure, education and socialwelfare. "We will be focusing on infrastructure in a big wayin the budget and promote the road and other infrastructure inbackward block," he said.

On the issue of land acquisition, Yadav favoured theallocation of 25 per cent of land acquired from farmers bereserved for them in the shape of residential or commercialplots while insisting on avoiding fertile land acquisition.

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