While the Odisha Government is expecting nearly Rs 70,000 crore from the Central kitty, flow of funds from the Union Government has slowed down, leading to a growing concern for the development planners of the State.
In fact, as per the Budget Estimate (BE) 2022-23, the Odisha Government is supposed to receive Rs 69,766.52 crore from the Central Transfers. On the Central Tax share count, Odisha expects Rs 36,977.88 crore and Rs 32,788.64 crore as Center Grants during 2022-23.
However, the State has received Rs 23,130.75 crore on both counts as on September 30 which is only 33.15 per cent of the BE.
During the first half of the current Financial Year, at least 50 per cent of Central Transfers was expected and accordingly, the development planners had chalked out programmes to carry out in the State. Grants from the Centre have gone down drastically and it is less than 31 per cent as compared to September 30, 2020. Out of Rs 32,788.64 crore Central Grants, Odisha has received Rs 6100.66 crore as on September 30, 2022. It is only 18.61 per cent of the BE. Similarly, on Share Tax front, Odisha has received Rs 17,030 crore, while it is 46 per cent of the BE.
While the State Government has made a BE of Rs1, 63,966.52 crore of total revenue receipts during 2022-23, Rs 69,766.52 crore was expected from the Union Government. However, in last six months, fund flow position has once again confirmed the fear that this year also the Central Transfers are going to be less, opined financial experts.
For last few years, the Central Transfers in general and particularly the Centeral Grants are being curtailed continuously. So, implementation of flagship programmes of the Government of India is
experiencing funds shortage in Odisha, officials said.
While the State Government is making available its State Share for the
Central schemes, Central Grants are not forthcoming, they pointed out.
Earlier, the State Government was preparing the Annual Budget keeping in view the Central Transfers, which accounted for a lion’s share of the total funding. Now-a-days, the BE has changed and stress is on collection of more revenue from own sources. If the State Government does not generate more funds, it will not be able to sustain growing demands of the State, especially in social sector, the officials asserted.
In BE 2022-23, the Odisha Government has targeted to collect Rs 94,200 crore of Own Tax and Non Tax revenue to sustain the expenditure. And due to an overdrive of the officials during last six months of 2022-23, the State Government has been able to collect Own Tax and Non Tax revenue worth Rs 42,630.60 crore, which has come as a big support in sustaining the spending of the State.