Meghalaya CM Conrad Sangma Presents Rs 1,970 Cr Deficit Budget for 2025-26

The fiscal deficit is pegged at Rs 1,970 crore, or 2.96% of GSDP, remaining below the permissible limit of 3.5%.

Meghalaya Chief Minister Conrad K Sangma has presented a Rs 1,970 crore deficit budget for 2025-26, outlining total receipts of Rs 30,415 crore, including revenue receipts of Rs 25,591 crore and capital receipts of Rs 4,824 crore. Excluding borrowings of Rs 4,788 crore, the net receipts are Rs 25,627 crore, while total expenditure is estimated at Rs 30,003 crore, comprising Rs 20,556 crore in revenue expenditure and Rs 9,447 crore in capital expenditure.

The estimated total expenditure, excluding loan repayments of Rs 2,406 crore, stands at Rs 27,597 crore. Interest payments for 2025-26 are projected at Rs 1,347 crore, while pension payments are expected to reach Rs 1,824 crore. The fiscal deficit is pegged at Rs 1,970 crore, or 2.96% of GSDP, remaining below the permissible limit of 3.5%.

Alongside the main budget, Sangma introduced Climate, Youth, Gender, and SDG Budgets, with allocations of Rs 5,421 crore, Rs 3,329 crore, and Rs 6,219 crore, marking increases of 20%, 16.6%, and 25%, respectively. He emphasized that the budget serves as a framework for growth, job creation, and citizen welfare, aligning with the goal of making Meghalaya a developed state by 2032.

The state government had set a target in 2023 to double Meghalaya’s GDP from Rs 42,697 crore to Rs 85,000 crore by 2028. Approved GSDP figures for 2023-24 stand at Rs 53,057 crore, with projections indicating an increase to Rs 66,647 crore for 2025-26, reflecting an annual growth rate of 12.7%.

Transfers from the Centre are expected to rise to Rs 20,568 crore in 2025-26 from Rs 19,242 crore in the current fiscal year, driven by India’s robust economic performance. The state’s share of central taxes is projected to grow by 10.5% to Rs 10,910 crore. Efforts to enhance tax and non-tax revenue have led to a near threefold increase in the state’s own tax revenue, reaching Rs 4,041 crore in the current year, with an estimated increase to Rs 4,226 crore in 2025-26, including GST of Rs 2,094 crore, sales and trade taxes of Rs 1,180 crore, and excise revenue of Rs 682 crore.

Non-tax revenue has faced challenges due to court rulings and the transition to scientific mining, but prospects have improved with three mining licenses issued and 20 more under approval. The state anticipates Rs 797 crore in non-tax revenue for 2025-26.

Total expenditure for 2025-26 is projected at Rs 30,003 crore, reflecting a threefold increase over eight years, among the highest growth rates in the country. Of this, Rs 23,353 crore is state expenditure, and Rs 6,650 crore falls under Centrally Sponsored Schemes. Revenue expenditure is estimated at Rs 20,556 crore, while capital expenditure has increased sevenfold since 2017-18, reaching Rs 9,447 crore.

Also Watch

COMMENTS

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Comment *

Name *

Email *

Website

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Comment *

Name *

Email *

Website