Haryana's revenue deficit down at 0.9 pc: Finance Minister

Haryana government today said it has been successful in bringing down the revenue deficit from 1.9 per cent during previous Congress regime to 0.94 per cent in the state budget for the year 2017-18.
Making the statement in the state assembly, Finance Minister Abhimanyu added that the state government has set a target to further reduce the deficit to zero per cent by 2019.
Replying to the discussion on budget estimates for the year 2017-18 during the ongoing budget session, Abhimanyu said the suggestions received by the government from members of state assembly and other stakeholders would also be considered while framing the future development policies and programmes.

"The budget of over Rs one lakh crore presented by the state government is aimed at the welfare of all sections of the society including farmers, labourers, traders, employees, women and youth," he said.
Referring to the "strong financial health" of the present state government, the Finance Minister said various statements were being issued by the opposition parties on the fiscal health of the government suggesting the fiscal and revenue deficit have increased.
"The Gross Domestic Product (GDP) of the state which was 5.7 per cent in the year 2014-15 has first increased to 8.7 per cent last year and GDP of 9 per cent is projected for the year 2017-18," he said.

He said the growth rate of per capita income has been projected as 7.2 per cent whereas it was four per cent in the year 2014-15.

Hhe said when the BJP government took over reins of Haryana in October 2014 "the agriculture growth rate stood at minus two per cent, but now after two years it has increased with positive growth of seven per cent and the 11 per cent people engaged in agriculture and allied sector were getting the benefit of this increased growth rate of agriculture".
The Finance Minister further said Haryana was among the best states of the country having better financial management.

"It has not crossed the Fiscal Responsibility and Budget Management (FRBM) limit of 25 per cent. The government has taken over the debt of Rs 25,950 crore of power distribution companies. This has resulted in annual savings of Rs 3,000 crore to DISCOMS as interest," he added.
He said the total revenue receipts of GDP including tax and non tax was 9.33 per cent in the year 2014-15 whereas it has been projected as 11.12 per cent in 2017-18.
Referring to the growth rate of total loan, Abhimanyu
said it has been projected at 20.7 per cent in 2017-18 whereas it was 21 per cent in 2011 and 20.9 per cent in 2011-12.

"Similarly, it was 25.5 per cent in 2013-14 and 24.5 per cent in 2014-15,17.9 per cent in 2015-16 and 17.6 per cent in 2016-17," he said.
He said the capital expenditure has been increased to 14,900 crore this year, whereas it was Rs 7,400 crore during the previous Congress government's regime.
Efforts would be made to take capital expenditure to Rs 20,000 crore, he said, adding that it would be ensured that 88.2 per cent of the new loan, to be taken by the government during 2017-18, is utilised in capital expenditure.
The minister said that the Revenue Deficit could have been reduced to zero in the year 2012.

He said it was Rs 3,875 crore in the year 2013-14 which increased to Rs 8,319 crore in 2014-15 with an increase of 114 per cent.
This figure was reduced to Rs 7,787 crore in the year 2015-16, Rs 7266 crore in 2016-17 and it is projected at Rs 5,816 crore in 2017-18, he said.
While referring to the fiscal deficit, he said it was 8,314 crore in the year 2013-14 which increased to Rs 12,580 crore in 2014-15.
He said the present government has brought fiscal deficit in the range of 2.61 per cent.
Abhimanyu said the per capita growth rate which was 7.36 per cent in the year 2014-15 has increased to 11.23 per cent in 2017-18. Similarly, the per capita debt has been reduced to 15.46 per cent in 2017-18 whereas it was 15.63 per cent in 2016-17, 17.35 per cent in 2013-14 and 20.66 per cent in 2012-13.

Stating that the financial system has been strengthened as a result of demonetization, the Finance Minister said VAT collection has increased by 16.7 per cent as compared to the collection made in November last year.
He said the budget of agriculture and allied sector for the year 2017-18 has been increased to 31.13 per cent from 29.98 per cent in 2016-17. Similarly, the outlay of rural development sector has been increased to 4.85 per cent in 2017-18 from 3.50 per cent in 2016-17, he told the state assembly in his reply.