UP govt presents tax free deficit budget

Apparently with an eye on the assembly elections due next year, the Uttar Pradesh government on Tuesday presented a tax-free deficit budget for 2011-12 with enhanced provision for schedule caste development.

Lucknow: Apparently with an eye on the
assembly elections due next year, the Uttar Pradesh government
on Tuesday presented a tax-free deficit budget for 2011-12 with
enhanced provision for schedule caste development.

"The budget size for the financial year is Rs
1,69,416.38 crore and is 10.6 per cent higher than the current
fiscal," Finance and Parliamentary minister Lalji Varma told
the assembly while presenting the budget.
For special schemes of Bundelkhand region an
additional arrangement of Rs 1,200 crore has been made in the
budget.

Keeping in view the specific requirements of eastern
UP and filling critical gaps, the state government has
allocated a sum of Rs 291 crore for the purpose.

In a bid to woo its traditional voters, the government
has made a provision of Rs 9,722 crore for the scheduled caste
under special component plan which is 6.8 per cent higher than
those allotted for the current fiscal.

With emphasis on public private partnership, the
government has estimated a private investment of Rs 9,700
crore in industrial sector.

Verma said a provision of Rs 5,153 crore has been made
for meeting fresh expenditure demand.
The minister estimated the total receipts in the next
fiscal touch Rs 1,66.012.86 crore.

This included Rs 1,31,428.7 crore as revenue and
34,584.16 crore in the form of capital receipts.

Against total receipts, an expenditure of Rs
1,69,416.38 crore is estimated, he said.

"After deducting total receipts from the total
expenditure, a net loss of Rs 3,403.52 crore is estimated in
the next fiscal," Varma said.

He said to meet the loss, Rs 3,900.25 crore will
be adjusted from the public account.

In its budget document, the government claimed that
law and order situation had improved in the state.

It said there was an 25 per cent increase in state
forces, with more than 7,200 police posts created for the
naxal affected areas.

For disposal of pending cases, the UP government has
proposed setting up evening courts for which an budgetary
provision of Rs 68 crore has been made.

For agriculture and allied sector, a provision of Rs
4,496 crore has been made in the U.P budget for the next
fiscal. This is 8.9 per cent higher than in the last year.

A target of 538.25 lakh MT foodgrain production has
been fixed for the state during the coming year.

The government while making a budgetary allocation of
Rs 6,133 crore for rural development has announced covering
70 lakh families under MNREGA in the next fiscal.

PTI