T. Harish Rao, the Finance Minister of Telangana, on the 8th of March, presented the State budget for the year 2020-2021.
The Telangana Rashtra Samithi (TRS) allocated a budget of Rs. 1,82,914 crores for Telangana. This year the State Government increased the budget by Rs. 40,762 crores.
Mr. Rao addressed the Budget Session and said, “I am proposing Rs.1,82,914.42 crore of expenditure. Out of this, the revenue expenditure is Rs.1,38,669.82 crores and capital expenditure is Rs.22,061.18 crores. It is estimated that surplus in Budget Estimates is Rs. 4,482.12 crore, while the fiscal deficit is Rs. 33,191.25 crores.”
According to Mr. Harish Rao, the 2020-2021 budget is solely for the welfare activities, schemes, growth and development of the State. He said, “Budget is not about figures written on (the) papers but a reflection of social values. This Budget reflects the comprehensive vision, foresight and dedication of (the) Chief Minister for the overall development of the State.”
This year the budget was prepared considering the slowdown economy of the State and India. Harish Rao said since Indian economy and tax devolution are a few major factors, which the Finance Ministry considered while preparing the budget for the year. He said, “There is an immediate need to keep up the growth momentum in the State. The tax devolution from Centre to the State is expected to be lower in 2019-20 by Rs. 3,731 crore as compared with the budget estimates. There are delays and shortfalls in the release of State’s share in Integrated Goods and Services Tax and GST compensation. Following the economic slowdown, the growth of the State’s own revenues in 2019-20 (till the end of February) is estimated to be at 6.3%, much below the growth of 16.1% achieved in 2018-19.”
In addition, it is also said there would be a reduction in the share of Telangana in Central tax devolution from 2.437% to 2.133 %, reducing an amount of Rs. 2,384.
According to the TRS Government, the State performed well economically, the per capita income of Telangana for 2019-20 is estimated at Rs. 2,28,216 crores, whereas, the per capita income of our Country is Rs. 1,35,050 crores.
Budget Allocated To Each Industries, welfare scheme and Ministry:
Panchayat Raj and RR – Rs. 23,005 crores
Scheduled Caste (SC) Welfare – R. 16,534.97 crores
Municipal Administration – Rs. 14,809 crores
Rythu Bandhu Scheme– Rs. 14,000 crores
Housing – Rs. 11,917 crores
Aasara Pension Scheme – Rs. 11,758 crores
Drinking Water – Rs. 11,054 crores
School Education – Rs. 10,421 crores
Energy – Rs. 10,416 crores
Hyderabad Development – Rs. 10,000 crores
Scheduled Tribe (ST) Welfare – Rs. 9,771.27 crores
Crop Loan Waiver – Rs. 6,225 crores
Health – Rs. 6,186 crores
Police Administration – Rs. 5,852 crores
Backward Classes Welfare – Rs. 4,356 crores
Roads and Buildings – Rs. 3,494 crores
Fee Reimbursement – Rs. 2,650 crores
Industrial Development – Rs. 1,998 crores
Higher Education – Rs. 1,723.27 crores
Animal Husbandry – Rs. 1,586.38 crores
Minorities Welfare – Rs. 1,518.06 crores
Industrial Infrastructure – Rs. 1,500 crores
Kalyana Lakshmi Scheme– Rs. 1,350 crores
Women SHGs – Rs. 1,200 crores
Rythu Bima Scheme – Rs. 1,141 crores
Market Intervention Fund – Rs. 1000 crores
Road Transportation Corporation (RTC) – Rs. 1000 crores
Drinking Water in 38 Municipalities – Rs. 800 crores
Forest and Environment – Rs. 791 crores
Collectorate, DPO, PCCC – Rs. 550 crores
MBC Corporation – Rs. 500 crores
Endowments Department – Rs. 500 crores
MLA, MLCs and SDP – Rs. 480 crores
Total Literacy Programme – Rs. 100 crores.
