Odisha has now become more than a $100-billion economy. Since 2015-16, the State has registered an average growth of 7.25%, which is about 1% higher than the average growth of the national economy, Finance Minister Bikram Keshari Arukha has said.
While delivering the Interim Budget speech in the Assembly on Thursday, Arukha said, “As per advance estimates for 2023-24, it is projected that the State economy will grow at 8.5% compared to 7.3% of the country. Thus, Odisha continues to be a bright spot in the whole country.”
Informing about the fiscal status of the State, he said the debt stock at the end of 2024-25 is projected to remain at 13.1% of GSDP against the FRBM (Fiscal Responsibility and Budget Management Act, 2003) mandated level of 25%.
Similarly, the interest payment to revenue receipt ratio is projected to remain at 3.7% against the FRBM prescribed level of 15%. Thus, all debt parameters are well within the sustainable level, he stated.
“We are the pioneer State to launch Ama Bank Scheme during 2023 as an initiative to provide banking services at all 4,373 unbanked GPs through establishment of CSP Plus Outlets in partnership with six Public Sector Banks,” he pointed out.
In the first phase, he said, 750 CSP Plus outlets have been made operational. In the second phase, around 2000 CSP Plus outlets will be operationalised shortly. This is an exemplary model to provide minimum 15 banking services free of cost including door step banking for senior citizens, differently-abled persons and pregnant women.
This is a landmark initiative by any State Government aimed at transforming financial inclusion and taking it to the next level in line with the 5T mantra of Chief Minister, he said.
The Minister also informed that the revised estimates for 2023-24, the total expenditure from consolidated fund is estimated at Rs 2,30,000 crore. Total revenue receipt is estimated at Rs 1,85,500 crore and revenue expenditure at Rs 1,63,089 crore.
Thus, the revenue surplus is estimated at Rs 22,411 crore in the revised estimates for 2023-24. The fiscal deficit is estimated to be contained at Rs 24,982 crore, which would be 3% of GSDP, he said.
The availability of Revenue Receipt for 2024-25 has been worked out at Rs 2,04,000 crore and the Revenue Expenditure at Rs 1,66,923 crore.
Stating that the capital outlay in 2024-25 is Rs 63,162 crore, which is about 6.8% of GSDP, Arukha said, “This would be one of the highest among all major States. The estimated revenue surplus is of the order of Rs 37,077 crore, which would be 4% of GSDP. The estimated fiscal deficit of Rs 27,750 crore would amount to 3% of GSDP.”
“Because of fiscal reform measures under the leadership of the Chief Minister, we have been able to ensure fiscal discipline and generate revenue surplus continuously right from implementation of the fiscal responsibility legislation during 2005, thereby creating additional resources to finance capital outlay. Odisha’s nontax revenue collection is the highest among all States in the country,” he noted.