With an expectation of bigger growth, the Odisha Government has started its preparation for Annual Budget for the upcoming financial year 2022-23.
While the country is expected to have a growth of 8.5 percent during 2022-23, as per International Monetary Fund (IMF) projections, Odisha is expected to have 9 percent growth during next financial year.
Principal Secretary, Finance, Vishal Kumar Dev has been engaged in Pre Budget Consultations with various departments as these departments have already presented their requirements.
The Team Finance led by Dev has been consistently monitoring revenue collection with a specific focus on arrear revenue.
And due to sustained efforts, collection of both tax and non-tax revenue is on rise and it is expected that State’s own revenues are to register a moderate growth in 2022-23.
The GST compensation to bridge the gap between projected revenue and actual revenue will continue till June 2022.
Considering these factors the spending is expected to increase by about 17 per cent in Financial Year 2022-23 over current Financial Year’s revised estimate, officials said.
While as part of Public Financial Management (PFM) reforms, the Odisha Government had introduced a new budget making process being adopted since 2020-21, these principles will be adopted for Annual Budget making process for 2022-23.
The Budget Estimates for the year 2022-23 are likely to be presented in the State Assembly during the month of February, 2022.
As the fiscal condition of the State is in a very good position and revenue collection is an increasing trend, the State may go for a bigger jump in the total outlay for the year 2022-23, feels experts.
The State Government has initiated very big infrastructure projects in the recent past. So, sufficient amount of funds would also be allocated for the purpose in addition to various social welfare programmes.