Budget 1997-98: Full Text
Revised Estimates for 1996-97
- I shall now briefly go over the Revised Estimates for
- The Budget Estimates for 1996-97 had placed the total
expenditure at Rs.204,660 crore. This is now expected to
come down to Rs.202,298 crore. This is the net effect of
a decrease of Rs.2571 crore in the non-Plan expenditure
and an increase of Rs.209 crore in the Plan expenditure.
- Non-Plan expenditure in the current year is placed at
Rs.147,404 crore. This represents a decrease of Rs.2571
crore over the Budget estimates basically on account of
saving of Rs.3000 crore in the provision made for the
likely impact of the recommendations of the Fifth Pay
Commission. On the other hand, we have not got Rs.4500
crore of anticipated receipts from disinvestment. Despite
these constraints, I made an additional provision of
Rs.1700 crore for Defence during the year. On balance,
therefore, I believe we have managed our receipts and
expenditure within the Budget.
- My greatest satisfaction is on the Plan side. We saved a
considerable amount in the Plan expenditure of the
Central government. It was, therefore, possible for me to
provide an additional Rs.2500 crore to the States as
Additional Central Assistance for externally-aided
projects. I also provided Rs.663 crore to Jammu and
Kashmir during the year. As a result, total Plan
expenditure has increased by Rs.209 crore. If I have
robbed Peter, the Central government, it is only to pay
Paul, the States.
- In October, 1996, the Prime Minister announced a package
of initiatives for the North-East, including adequate
funding for on-going projects, which will require over
Rs.6,000 crore. Government will allocate funds for these
projects in the Ninth Plan. The Numaligarh Refinery is
making good progress. I have provided Rs.100 crore for
the project in the RE for 1996-97 and over the next two
years adequate funds will be found to ensure its
completion on schedule.
- The overall gross tax revenue which was estimated at
Rs.132,145 crore in the Budget estimates will be
marginally higher by Rs.174 crore, although the net tax
revenue of the Centre would be marginally less by about
Rs.100 crore from the Budget estimate of Rs.97,310 crore.
- Taking into account the Revised Estimates of revenues
and expenditure, the Revenue Deficit has come down from
the Budget estimate of 2.5% of GDP to 2.3% of GDP. There
is no change in the Budget estimate of the fiscal deficit
which would remain at 5% of GDP. I am profoundly sorry to
disappoint my well-meaning critics.
- What will we do without our critics? As Saint
"Idipparai Illatha Emara Mannan
Keduppar Ilanum Kedum"
( Behold the King who reposeth not on those who can
him/He will perish even when he hath no enemies.)
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