Telangana should pay off Rs 76,000 crore in 7 years: CAG report
The fiscal deficit and debts to be paid in Telangana are below the fixed rates by the 14th finance commission, said Comptroller and Auditor General (CAG) in its report.
The fiscal deficit and debts to be paid in Telangana are below the fixed rates by the 14th finance commission, said Comptroller and Auditor General (CAG) in its report. "Although there is decrease in primary deficit, there is no revenue except to bear the debts on primary expenditure," CAG said.
The CAG recommended to decrease the implausibility between the budget expectations and the reality. "While the government is giving high priority to the agricultural sector, not much amount allocated to education, transport, sports and arts," it opined. The CAG also said that the government has not disclosed the financial result even after spending a huge on irrigation projects.
CAG reported the financial state of Telangana for the financial year 2019 including increase in revenue generated and revenue expenditure from 2015-16 to 2018-19, decrease in revenue generation and expenditure in GSDP. It also said that there is a decrease in capital expenditure compared to GSDP.
The report also said that fiscal deficit in GSDP was 3.11 per cent which is below 3.25 per cent fixed by 14th finance commission. Also, the debts to be paid off was at 22.75 per cent which is less than 23.33 per cent.
"Until March 2019, 46 per cent of government debts i.e. Rs 76,262 crore should be paid off in the next seven years. The government has spent Rs 55,517 crore more between 2014-15 and 2017-18 without the approval of legislature. So, there is a need to set up an organization to control the expenditure," CAG said.