Puducherry CM presents ₹10,696.61 cr tax-free budget: Key announcements here

Key announcements in the budget

• Free houses for freedom fighters

Rangasamy while presenting the budget in the territorial Assembly said, to celebrate the 75th anniversary on nation’d independence, the administration has decided to provide free house pattas to 260 tyagis (freedom fighters).

• Free of cost laptops and bicycles fro students

The Chief Minister further said, “laptops would be distributed free of cost to students of standards XI and XII in government schools and government-aided schools in a phased manner.”

He said it was also proposed to re-implement the free bicycle scheme for students studying in standard IX in government and government-aided schools.

• Establishment of National law University in Puducherry

The Chief Minister announced that a National Law University would be established in Puducherry. Prime Minister Narendra Modi has been invited to lay the foundation for the university and the necessary site had already been earmarked for the project.

• ₹2 crore grant to each MLA for local area development

Under the MLA Local Area Development Scheme it was proposed to grant ₹2 crore to each member of the Assembly to undertake basic infrastructure work during the current fiscal year which was welcomed enthusiastically by the legislators.

• Ferry between Karikal and Sri lanka

Rangasamy announced that steps were being taken to start ferry service between Karaikal port and Kankesanthuri port in Sri Lanka this year.

• Filling of vacant government posts

All posts of lower and upper division clerks and all vacant posts in government departments would be filled before the end of the current year.

Size of the Budget

Revenue

The Chief Minister said that the size of the budget for the fiscal 2022-23 was ₹10,696.61 crore, adding that the Union Territory`s own revenue receipts were estimated at ₹6,557.23 crore while the Central assistance would be ₹1,729.77 crore with an additional ₹20 crore from the Central Road Fund and an allocation of ₹500 crore under Centrally sponsored schemes (CSS).

To bridge the territory’s fiscal deficit, the Central government has approved borrowings to the extent of ₹1,889.61 crore. Rangasamy, who also holds the Finance portfolio, said that “the total outstanding debt of the Union Territory as on March 31, 2022 was ₹9,859.20 crore.”

“A major portion of our financial resources goes towards meeting committed expenditure such as salaries, pension, repayment of past loans and interest payments,” he added.

Expenditure

During his 75-minute address, the Chief Minister said that out of the budget estimate of ₹10,696.61 crore for the fiscal 2022-23, a sum of ₹2,312.77 crore would be allocated for salaries (21.62%), ₹1,122.32 crore for pension (10.49%), ₹2,311.61 crore for debt servicing (21.61%) such as payment of loan and interest and ₹1,440 crore for purchase of power (13.46%).

Telling about other major expenditure of the government Rangasamy accounted payment of old age pension (assistance to elderly citizens) and other welfare schemes to the tune of ₹1,400 crore (13.09%), grant in aid to society run higher education institutions, state public sector undertakings, local bodies and cooperative institutions to the extent of ₹1,333.19 crore (12.46%).

The Chief Minister also said the expenditure incurred during the previous fiscal year (2021-22) was ₹9,793.29 crore which worked out to 94.04% of the revised estimates.

Speaker R Selvam adjourned the House after the Chief Minister presented the budget. The house will reconvene at 9.30 AM on Tuesday.

With inputs from PTI.

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