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Central Transfers Go Down

Bhubaneswar: While Odisha Government is expecting nearly Rs.70,000Crore from Central Kitty, flow of funds from Union Government Treasury has slowed down, resulting growing concern for the Development Planners of the State.

In fact as per Budget Estimate(BE) 2022-23, Odisha Government is supposed to receive Rs.69,766.52 Crore from Central Transfer.

While on Central Share Tax count, Odisha expects Rs.36,977.88Crore and Grants from Center an amount of Rs.32,788.64 Crore during 2022-23.

However, the State Has received Rs.23,130.75Crore on both counts, as on 30 September 2022 which is only 33.15 Percent of Budget Estimate.

It was expected that during first half of Financial Year at least 50 Percent of Central Transfer was expected and accordingly, the Development Planners have chalked out programs to carry out in the State.

Grants from Centre have gone down drastically and it is less than 31 Percent as compared to 30 September 2020.

Out of Rs.32,788.64Crore, Odisha has received Rs.6100.66 Crore as on 30 September, 2022.It is only 18.61 Percent of BE.

Similarly on Share Tax front Odisha has received Rs. 17,030 Crore, while it is 46 Percent of the BE.

While State Government has made a Budget Estimate of Rs.1,63,966.52Crore of total Revenue Receipts during 2022-23, Rs.69,766.52 Crore was expected from the Union Government.

However last six months fund flow position has once again confirmed the fear that this year also Central Transfers are going to be less, opine financial experts.

For last few years Central Transfers in general and particularly Grants from Center is being curtailed continuously.

So implementation of Flagship Programs of Government of India are experiencing funds shortage, admit officials.

While State Government is making available its State Share for the Central Programs, Central Grants are not forthcoming, point out officials.

Earlier, State Government was preparing Annual Budget keeping in view the Central Transfers, which was the Lion Share of the total funding.

Now-a-days Budget Estimate has changed and stress is on collection of more Revenue from Own Sources, adding unless the State Government will not generate more funds, it will not be able to sustain growing demands of the State, especially in Social Sector, admit officials.

In Budget Estimate of 2022-23, Odisha Government has targeted to collect Rs.94,200Crore of won Tax and Non Tax Revenue to sustain the expenditure.

And due to overdrive of the officials during last six months of 2022-23, State Government has been able to collect Rs.42,630.60 Crore of Own Tax and Non Tax Revenue, which has come as a big support in sustaining the spending of the State.