Mumbai: The Comptroller and Auditor General of India (CAG) said the during 2021-22 Maharashtra had reported Revenue Deficit of Rs 16,374 crore and Fiscal Deficit of Rs 64,301 crore which represents 0.51 per cent and 2.01 per cent of the Gross State Domestic Product (GSDP) respectively.
The Fiscal Deficit constituted 16 per cent of total expenditure. CAG in its report on the Maharashtra government’s Finance Accounts and Appropriation Accounts for 2021-22 said the deficit was met mainly from Public Debt (Rs 54,553 crore), net increase in Public Account (Rs 17,325 crore) and increase in cash balance at the end of the year (Rs 7,577 crore). The CAG report was tabled in the state legislature on the concluding day of the winter session on December 30.
Around 36 per cent of the revenue receipts (Rs 3,33,312 crore) of the State Government was spent on committed expenditure like salaries and wages (Rs 41,936 crore), interest payments (Interest Payments Rs40,158 crore) and pensions (Pensions and Other Retirement Benefits Rs 38,513 crore).
Liabilities of the State Government increased by Rs 58,119 crore from Rs 5,48,176 crore in 2020-21 to Rs6,06,295 crore during 2021-22. Public debt comprising internal debt of the State Government and loans and advances from the Central Government increased by Rs 54,553 crore -from Rs 4,28,482 crore in 2020-21 to Rs 4,83,035 crore at the end of the current year)- which was a rise of more than 31%.
Utilisation of Public Debt receipts for servicing of debt showed a decreasing trend from 207 per cent in 2018-19 to 75 per cent in 2020-21, whereas it slightly increased to 77 per cent in 2021-22.
‘’It is desirable to fully utilize borrowed funds for the creation of capital assets and to use revenue receipts for the repayment of principal and interest. The State Government could not utilise the borrowed funds fully on capital assets in the year 2021-22,’’ observed the CAG.
During the year 2021-22, total contribution to Defined Contribution Pension Scheme was Rs 5,110.87 crore (Employees contribution Rs. 1,967.65 crore [Tier I – Rs. 1,826.29 crore and Tier II – Rs. 141.36 crore] and Government contribution Rs. 3,143.22 crore). The Government transferred Rs. 6,702.99 crore to the Public Account under Defined Contribution Pension Scheme.
The Government contribution to NPS (National Pension Scheme) was more by Rs 586.41 crore which resulted in the understatement of Revenue deficitand Fiscal deficit to that extent.
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