Haryana presents Rs 1.77-lakh-cr Budget; focus on growth, women, environment

Presenting the Budget in the Vidhan Sabha, Chief Minister Manohar Lal Khattar proposed no fresh tax. He said the Budget envisions five developmental forces through the ‘Vajra Model’ for enhanced economic growth and human development, ease of living for citizens, lifting the poor and disadvantaged from all socioeconomic groups, leveraging productivity through increased adoption of technology accompanied by employment and entrepreneurship.

“We have laid a special emphasis on increasing capital infrastructure investment to boost demand, which holds a key role in speedy economic revival with a multiplier effect,” said Khattar during his two-and-a-half-hour speech while reading out the 68-page Budget document.

The proposed Budget of Rs 1,77,255.99 crore for the 2022-23 fiscal is 15.6 per cent more than the Budget size of Rs 1,53,384 crore in 2021-22.

The Budget outlay comprises 34.4 per cent as capital expenditure at Rs 61,057.36 crore and 65.6 per cent as revenue expenditure at Rs 1,16,198.36 crore.

The debt liability is likely to go up to Rs 2,43,779 crore in the financial year 2022-23, from Rs 2,23,768 crore as of March 2022.

In Budget Estimates (BE), the total revenue receipts are projected to be at Rs 1,06,424.70 crore. They comprise tax revenues of Rs 73,727.50 crore, non-tax revenues of Rs 12,205.86 crore, share of central taxes of Rs 8,925.98 crore and a grant-in-aid of Rs 11,565.86 crore. Besides this, capital receipts are projected to be Rs 5,393.89 crore.

“The fiscal deficit is estimated to be 2.99 per cent of GSDP in 2021-22 and for FY 2022-23, it is expected to be within the prescribed limit of 3.5 per cent by the 15th Finance Commission, at 2.98 per cent of GSDP as per BE for 2022-23,” Khattar said.

He proposed to further increase the capital expenditure to Rs 61,057.36 crore in FY 2022-23.

Presenting his third Budget, Khattar said a provision of reserve fund of Rs 1000 crore has been made for infrastructure projects on revenue side as per the CAG classification in the BE 2022-23. “However, this amount is to be utilized for creation of capital infrastructure. Thus, the revenue deficit would potentially further reduce to 0.88 per cent of GSDP. The overall debt stock has been contained, with debt to GSDP ratio remaining at 24.98 per cent for fiscal 2021-22 (RE) as against the limit of 32.6 per cent of GSDP prescribed by the 15th Finance Commission.” Khattar said, adding, “For the next fiscal, the debt stock is expected to be at 24.52 per cent of GSDP”.

Later, addressing media outside the House, Khattar termed it as a “Budget for poor people”. He said on the basis of Parivar Pehchan Patra (family ID) data, his government is launching new schemes for the benefit of the poor. “29 per cent families of the state are covered under the schemes meant for households, which have annual income less than 1.80 lakh,” Khattar said.

He said, “A culture of freebees has started in the country but it is not in the interest of the nation and the public. We have kept the loans in limit. We are keeping the revenue deficit too under control. When we took charge of the government seven years back, almost all the PSUs were in losses. But we have improved their system. All the four electricity companies have been in profit for the past three years. We did not increase the power tariff but reduced the charges twice”.

Earlier, in the House, Khattar said, “Budget 2022-23 reflects the government’s firm commitment to substantially boost investment in agriculture, rural development, health and education for comprehensive socio-economic growth of the state. Special emphasis has been given to boost capital investment, as the share of capital budget has been projected to increase to 34.4 per cent in fiscal 2022-23”.
The Budget outlay also highlights various fundamental reforms that the state government took over a span of past few years.

Besides other schemes announced for women, Khattar also announced Sushma Swaraj award for recognising their achievements. “The women of Haryana have made considerable achievements in the past few years, especially in the field of sports and politics. Today is International Women’s Day. Today, we celebrate the social, economic, sports, cultural and political achievements of our Matrushakti. Late Sushma Swaraj, a daughter of Haryana, was an inspiration to all women in India,” he said, adding the award in her name will carry a commendation and Rs 5 lakh cash.

He said women from families whose annual income is less than Rs 5 lakh and who wish to become entrepreneurs will be provided access to soft loans by financial institutions. The loans will be to the extent of Rs 3 lakh, for which an interest subvention of seven per cent will be provided for three years through the Haryana Women Development Corporation, Khattar said.

The government has undertaken prudent fiscal measures to address the economic shock induced by the pandemic, said Khattar and proposed to set up three dedicated funds.

The Climate and Sustainable Development Fund will undertake targeted activities, including solid and liquid waste management, controlling water and air pollution. The Research and Innovation Fund will promote scientific activity and scholarship in universities and the Venture Capital Fund will promote entrepreneurship and support youth in establishing start-ups.

The state government has set a target of setting up and supporting 10,000 self-help groups (SHGs) in next fiscal.

Allocating Rs 5,988.76 crore to agriculture and allied sectors, an increase of 27.7 per cent over ongoing fiscal, Khattar proposed to initiate a new programme on natural farming under the existing scheme for the promotion of sustainable agriculture.

The benefit of minimum support declared by the Centre for maize sown in kharif will be extended for maize grown during the summer season. A new programme has been proposed for crop diversification into orchards, vegetables and spices, specifically targeting paddy growing areas and other cereal crops.

On the environment, Khattar said the government proposes to identify ‘hot spots’ prone to air pollution in every district and to make necessary interventions to convert them into ‘green spots’.

In addition to the existing 29 continuous ambient air quality monitoring stations in the state, 100 air quality monitoring stations across the state will be installed to monitor the air quality as well as to spread awareness among the public.

A new award will be started in the name of prominent environmentalist of Haryana, late Darshan Lal Jain, for recognising excellence in efforts towards environment conservation and promotion.

While concluding the Budget, Khattar said, “This Budget represents the hopes, aspirations and opportunities for a new Haryana emerging from the global issues of the last two years. I thank all those who guided me with their valuable suggestions over the last two months. I am sure many of these suggestions have found place in the Budget that I place before you”.

Speaking about the vision of the state government for the upcoming financial year, Khattar said, “Our vision is that this new Haryana should throw off the problems of the past and give flight to all our collective dreams. For this, prudent management of the finances of the State, better targeting towards those who need support to become Atmanirbhar and an eye on the future through sustainable development measures are necessary. Haryvanvi Ek” should resonate with “Ek Bharat Shreshta Bharat” in the coming decade”.

Besides other schemes announced for women, Khattar also announced Sushma Swaraj award for recognising women’s achievements. “The women of Haryana have made considerable achievements in the past few years, especially in the field of sports and politics. Late Sushma Swaraj, a daughter of Haryana, was an inspiration to all women in India,” Khattar said while reading out the Budget document in the Assembly.