Eminent financial analyst Rajib Sekhar Sahoo has advised the State Government to go for a ‘futuristic revenue generation’ approach.

While the State Government has been able to receive wide appreciation for its ‘Prudent Financial Management’, it needs to revisit its revenue generation policy, Sahoo has opined.

Sahoo said Odisha is among the handful of States that have posted revenue surplus for several years. The State continuously strives to enhance its fiscal sustainability and improve budget performance by strengthening a medium-term fiscal framework and improving budgetary transparency.

However, he pointed out, the major source of Own Non Tax Revenue is from the mining sector, which is volatile. With market fluctuation and imposition of stringent export duty, there was contraction in mining revenue for last few months. Now, it has increased of late thanks to the decision of Government of India to withdraw iron ore export duty and the ease in market.

Most importantly, the mining sector is not a renewable one; so, more dependence on this sector for revenue generation is not advisable. Going for new sectors for generation of revenue and futuristic planning is needed for the State Government, which is pumping more and more resources for development programmes, Sahoo said.

Major engineering industries are to be roped in, which would generate robust revenue. Secondly, the service sector requires more incentives and Odisha is now a resourceful State, so it can use its resources. Thrust is needed on the hospitality, tourism, IT/ ITES sectors, which would generate more revenue and employment, said he.