Odisha to go for lean Supplementary Budget on bloating expenses

Climbing expenses on implementing the recommendations of the Seventh Pay panel along with resource limitations has forced Odisha to opt for an ‘adjustment budget’ in this fiscal instead of its usual Supplementary expenditure provision.

From October 1 last year, the state government has been paying salaries and pension to its staff in revised scale, keeping to the provisions of the Seventh Pay Commission. The hefty payout has straitjacketed the state's finances as revenue collection has not widened. Since implementation, the state government has paid off 40 per cent arrears in salaries while clearing the pension backlog completely. Consequently, the expenditure on