Rs 3,400 Crores Deficit Budget: DMK Government presents in TN Assembly

The ruling DMK Government today presented a huge deficit budget to the tune of Rs 3,396.45 crores. The state finance Minister Prof. K Anbazhagan presented the budget but however, he has refrained from imposing fresh taxes.

The Minister presented the State budget in the new Assembly-Secretariat complex on Omanthoorar Government Estate here.

Reduction in taxes on a variety of articles used by the common man was announced by the Minister, who presented the fourth budget of the DMK government in the state.

The state government also announced that an industrial park would be set by the State Industries Promotion Corporation in Villupuram district.

The government would spend Rs. 22 crore to expand Tamil Nadu State Wide Area Network which connects headquarters of various departments of government in district, divisional and block level through internet.

On the women welfare front, the government has announced enhancing assistance under ‘Moovalur Ramamirtham Ammaiyar Memorial Assistance’ scheme from Rs. 20,000 to Rs. 25,000.

Iodised salt would be given to pregnant women free of coast through fair price shops.

For the welfare of differently- abled persons, the budget said upper income limit prescribed for availing assistance under various government welfare schemes will be completely removed. A separate department for differently abled persons will function under the direct supervision of the Chief Minister, Anbazhagan said.

Allocation for scheduled castes sub-plan has been increased from Rs 567. crore to Rs. 3,828 crore and this was 19 per cent of the total plan outlay.

According to the finance minister, that total revenue receipt of the government for 2010-2011 is estimated at Rs 63,091.74 crores and the total revenue expenditure is estimated at RS 66,488.19 crores. Accordingly revenue deficit is estimated at Rs 3,396.45 crores. "Implemetation of recommendations of Sixth Pay Commission for government servants is the main reason for this deficit", Mr Anbazhagan asserted.

"The total capital expenditure of the Government, including loans and advances (Net) in 2010-2011 is projected at Rs 12,825.68 crores. The projected fiscal deficit for the coming financial year will be Rs 16,222.13 crores. This would constitute 3.7 per cent of the Gross State Domestic Product. Taking into account the net Public account, the overall deficit will be Rs 8 crores. This deficit will be made good by economy in expenditure and better tax administration", Finance Minister Mr Anbazhagan said.

Prof. Anbazhagan further said that the state has been very careful in managing its debt. The out standing debt of the government as on 31, March 2009, which includes liabilities like the provident fund, has been Rs 74,858 crores.

The Vote on Account for 2010-2011 and Final Supplementary Estimates for 2009-2010 will be presented on March 26, as decided by the Business Advisory Committee.

After presenting the budget, the Speaker Avudaiappan adjourned the house to March 26.

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- Asian Tribune -