The State’s finances are under “stress” during the first quarter of the financial year itself as the government has to clear bills of ₹10,000 crore pertaining to the fourth quarter of last fiscal. The government has cleared ₹49,000 crore, including pending bills, this quarter.
Addressing a press conference at the Secretariat on Tuesday, Finance Minister Yanamala Ramakrishnudu said the government still had to clear bills of ₹10,000 crore.
Departments such as Roads and Buildings, Home, Irrigation, and Municipal Administration were asking for additional funds. The Ministers and Secretaries need to understand that finances were difficult to come by.
They would have to stick to the approved budget and spend accordingly. Later on they can seek additional funds, he said.
Income from the Stamps and Registration Department was not on expected lines though revenue from the Excise Department was satisfactory.
The gap between revenue and expenditure was growing.
The government could borrow loans of up to ₹12,000 crore only as ₹4,000 crore had already been borrowed. The departments would have to prioritise their schemes and spend funds judiciously.
“Now, either revenues have to improve or austerity measures taken up,” he said.
The Central government released ₹9,000 crore towards additional grants so far. About ₹10,000 crore was yet to be released. The government was expecting that the Centre would release the dues by this month-end, he said.
The Minister, referring to revenue deficit, said the Centre was supposed to release ₹3,000 crore towards revenue deficit. The Centre, however, says only ₹138 crore would be released. Chief Minister N. Chandrababu Naidu would write a letter to the Centre, if required, he said.