The Hindu Business Line : AP Budget to place focus on irrigation sector

THE State Government will focus on the irrigation sector in the upcoming Budget, with a likely allocation of Rs 8,486 crore, amounting to 15.47 per cent of the total budget.

The allocation is nearly two-and-half times more than the Rs 3,505 crore allocated during the previous Telugu Desam Government.

On social services, it is proposed to spend Rs 12,927 crore (Rs 12,079 crore). This would constitute 23.56 per cent of the total budget. For urban development, the Government plans to spend Rs 1,355 crore as against the Budget Estimates (BE) of Rs 1,198 crore during 2004-05.

Releasing the Annual Fiscal Framework for 2005-06, the Finance Department said the allocation for general education would be Rs 5,560 crore (Rs 5,169 crore). On medical and health, the estimated spending would be Rs 1,753 crore (Rs 1,659 crore).

However, the spending on the energy sector would be far less than in the previous two years. The estimates for the sector during 2005-06 is put at Rs 2,187 crore, as against Rs 2,301 crore BE in 2004-05 and Rs 2,988 crore in 2003-04.

The revenue deficit in the ensuing fiscal would be Rs 1,647 crore (0.73 per cent of the gross State domestic product) as against the revised deficit estimate of Rs 1,885 crore (0.93 per cent of GSDP) for 2004-05.

The fiscal deficit would be at 3.78 per cent during 2005-06 as against 3.41 per cent in the current fiscal.

The revenue deficit for 2004-05 is likely to be Rs 1,885 crore as against Rs 2,962 crore. In terms of GSDP, the revenue deficit is expected to decline from 1.66 per cent in 2003-04 to 0.93 per cent by March 31, 2005. The fiscal deficit, which was at 4.19 per cent of GSDP in 2003-04, may end up at 3.41 per cent by the end of the current fiscal.

For 2005-06, the Government puts the total expenditure, including plan and non-plan expenditures, at Rs 54,871 crore. This includes a plan outlay of Rs 17,428 crore (including Rs 1,910 crore worth Central-sponsored schemes) as against Rs 13,943 crore (revised estimates) in 2004-05.

The total expenditure (revised estimate) during the current fiscal is likely to be Rs 48,690 crore as against the budget estimates of Rs 51,143 crore.

Interest payments in 2005-06 would be Rs 7,923 crore as against the revised estimate of Rs 7,228 crore in the current fiscal. Interest payments as a percentage of total revenue expenditure would be 21.02 per cent.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page