The State’s Annual Budget 2021-22 is likely to see steep rises in allocation in the MSME, health, sports, tourism and infrastructure sectors. Finance Minister Niranjan Pujari would place the Budget proposals on February 22 in the State Assembly, the Budget Session of which would commence on February 18.
With senior officials engaged in final touchups for the Budget, looking at Chief Minister Naveen Patnaik’s thrust on activities in the Covid situation, it seems these crucial sectors, which wold be of much help for generation more jobs, are likely to get topmost priority. The pandemic has greatly impacted the MSME sector along with all other industries, leading to the shutdown of several businesses and loss of employment. The prevailing challenge of liquidity and access to loans for small business owners and MSMEs, clubbed with the challenge of lockdowns, put a huge question mark on their survival.
While the Union Government has allocated Rs 15,700 crore for MSMEs in its 2021-22 Budget, which is more than double the allocation during 2020-21, similarly the State Government is likely to hike the allocation level by over 80% in the coming fiscal as compared to the current fiscal, feel officials. Recently, the State Government, in its bid to strengthen the MSME sector, had extended financial incentives to 278 units during the current fiscal. So, the number of units getting incentives increased to 639 since April last. The total amount of incentive has touched Rs 69.99 crore, official sources said.
Secondly, Covid-19 impacted lives in the entire State and it brought to the fore the weaknesses of the healthcare facilities. In fact, the State has been facing a severe shortage of healthcare professionals.
The 15th Finance Commission in its State Report has pointed out that there is a more than 83% shortfall of specialists in the Community Health Centres (CHCs) against the sanctioned posts. Besides, more than 30% vacancies are in the Primary Health Centres (PHCs). So, the State needs robust initiatives to improve key health indicators, which are inferior to the national average, the report reveals.
In this backdrop, the Odisha Government would pump more funds to the healthcare sector, likely adding nearly a 20% hike compared to fiscal 2020-21. Allocation in sports is likely to see a quantum jump with the 2023 World Cup Hockey to be organised at Bhubaneswar and Rourkela. While Sundargarh district is likely to get huge funding for the proposed world-class hockey stadium and other facilities of international standard, all the districts would get more funding for setting up state-of-the-art stadiums and other facilities. This is planned in a big way to make Odisha a sporting hub and to channelise youths’ energy in a positive direction, said a senior official.
Covid-19 has badly hit the tourism sector; and the hospitality industry faced huge setback. As the tourism sector is opening up, the State is gearing up to develop ‘Destination Tourism’ by pumping large chunks of funds for development of facilities and infrastructure in and around selected destinations.
Therefore, the tourism sector would see a big hike in allocation so that quality infrastructure is in place; and when the State opens up for tourists, there would be world-class facilities waiting for them, said an official.
Similarly, the infrastructure sector like highways and other roads, buildings, irrigation and urban development infrastructure would receive big pushes and there would be no constraint of funding as the Government has decided to hike the Capital Expenditure to boost economy of the State.