Union Budget 2012-13: An Assessment*
The Union Budget 2012-13 seeks to prepare the
Indian economy for the 12th Five Year Plan by addressing
the existing fiscal concerns. In this context, the Budget has
identified five objectives, viz., recovery in domestic demand;
reviving private investment; addressing supply-side sectoral
bottlenecks; dealing with malnutrition in select districts;
improving delivery and governance mechanisms through
better co-ordination; and addressing concerns relating to
black money and corruption. The Budget envisages a
significant fiscal correction through reduction in gross fiscal
deficit-GDP ratio from 5.9 per cent in 2011-12 (RE) to
5.1 per cent in 2012-13. In the medium term, the
government seeks to resume the rule-based fiscal consolidation
by amending the fiscal responsibility and budget
management (FRBM) Act, 2003, which inter alia,
incorporates a Medium Term Expenditure Framework
Statement. The announcement to cap the total expenditure
on subsidies at 2.0 per cent of GDP in 2012-13 and a
phased reduction thereafter would facilitate the
sustainability of Central finances in the years to come.
Notwithstanding the fact that the implementation of tax
reforms, viz., Direct Tax Code (DTC) and Goods and
Services Tax (GST), has been delayed, some of the
announcements relating to tax measures have been made
to enable a smooth transition to the new tax regimes.
The Union Budget 2012-13 was presented in the
Parliament on March 16, 2012 against the backdrop of
a significant economic slowdown and some moderation
in inflationary pressures. In this backdrop, the Budget
identifies five objectives, viz., recovery in domestic
demand; reviving private investment; addressing
supply-side sectoral bottlenecks; dealing with
malnutrition in select districts; improving delivery and
governance mechanisms through better co-ordination;
and addressing concerns relating to black money and
corruption to be addressed effectively in the ensuing
fiscal year. The Budget lays emphasis on striking a balance between fiscal consolidation and strengthening
macroeconomic fundamentals. The correction in
revenue deficit-GDP ratio is sought to be achieved
through both revenue enhancing (especially indirect
tax measures and non-tax revenues through spectrum
auction receipts) and expenditure control measures,
viz., restricting expenditure on subsidies to 2 per cent
of GDP. The incorporation of the concept of ‘effective
revenue deficit’ and ‘Medium-Term Expenditure
Framework’ statement in the proposed amendments
to FRBM Act, 2003 indicate a move towards expenditure
reforms. This article provides an assessment of the
Union Budget 2012-13. Section I sets out the
macroeconomic framework of the Budget. An analysis
of the progress envisaged towards fiscal correction and
consolidation by the Central government is undertaken
in Section II. The initiatives towards tax reforms, as
announced in the Union Budget, are covered in Section
III. Section IV sets out the major sectoral policy
initiatives in the Budget while Section V concludes with
overall assessment.
I. Macroeconomic Framework
The Union Budget 2012-13 was presented against
the backdrop of a significant economic slowdown in
2011-12, led by deceleration in industrial growth, while
inflationary pressures have exhibited signs of
moderation since December 2011. The economic
growth is expected to return to a recovery path in 2012-
13 with real GDP growth estimated at 7.6 per cent,
+/-0.25 per cent in 2012-13, though it may converge to
the average growth of around 9 per cent in the 12th Plan only by 2013-14 (Table 1). The headline inflation is
expected to moderate further in 2012-13, with the
average implicit inflation, based on projected real and
nominal GDP growth rates for 2012-13, estimated lower
at 6.4 per cent than that in 2011-12. The current account
deficit as a proportion of GDP is estimated to be lower
in 2012-13 (around 3.6 per cent in 2011-12).
Table 1: Macroeconomic Projections in the Budget |
(Per cent) |
Parameter |
2011-12 |
2012-13 |
2013-14 |
2014-15 |
| |
1 |
2 |
3 |
4 |
Real GDP Growth |
6.9 |
7.6 (+/-25 bps) |
Around 9 |
Around 9 |
Nominal GDP growth |
16.1 |
14.0 |
15.0 |
15.5 |
Current Account deficit/GDP |
3.6 |
– |
– |
– |
The underlying macroeconomic assumptions for
2012-13 are expected to support the fiscal consolidation
initiatives of the Central government. However, there
could be upside risks to inflation projections, considering
the extent of suppressed inflation on account of
incomplete pass-through of global crude oil prices to
domestic markets. The policy initiatives announced in
the Budget, viz., increasing productivity in the dairy
sector, oilseeds and oil palm, enhancing allocations for
agricultural research, building storage capacities for
foodgrains, and improving irrigation and water
management indicate the Central Government’s
concerns to address the supply-side bottlenecks in
agriculture, though their impact on supply and inflation
may be seen only with a lag.
II. Progress towards Fiscal Correction and
Consolidation
Key deficits to remain higher than the path
envisaged by the Thirteenth FC
The Central government was expected to return
to the fiscal consolidation path through a gradual
reduction in the gross fiscal deficit (GFD)-GDP ratio so
as to reach 3.0 per cent level by 2013-14, as recommended
by the 13th Finance Commission (ThFC). The revised
estimates for Central government finances for 2011-12
show that there was a significant deviation in key deficit
indicators from the recommended benchmarks as also
a considerable slippage in meeting the Budget estimates.
The Budget attributes this to significant deviations in
macroeconomic global and domestic parameters from
the underlying assumptions made in the Union Budget
2011-12. The firming up of international crude oil prices
coupled with the impact of reduction in indirect taxes
on petroleum products, slowdown in economic growth,
and shortfall in disinvestment contributed to a slippage
in GFD-GDP ratio amounting to 1.5 per cent of GDP.
Furthermore, expenditure on subsidies overshot the
budget estimates by 0.8 per cent of GDP. Although
higher-than-anticipated nominal GDP growth and some
reduction in plan expenditures muted the extent of
fiscal deterioration, GFD-GDP ratio was placed higher
at 5.9 per cent for 2011-12 (Table 2).
Table 2: Select Fiscal Indicators |
(As percentage of GDP) |
| |
2011-12 (RE) |
2012-13 (BE) |
Rolling Targets |
2013-14 |
2014-15 |
|
1 |
2 |
3 |
4 |
Revenue Deficit |
4.4 |
3.4 |
2.8 |
2.0 |
|
(3.4) |
|
|
|
Effective Revenue Deficit# |
2.9 |
1.8 |
1.0 |
0.0 |
|
(1.8) |
|
|
|
Fiscal Deficit |
5.9 |
5.1 |
4.5 |
3.9 |
|
(4.6) |
|
|
|
Gross Tax Revenue |
10.1 |
10.6 |
11.1 |
11.7 |
Total Outstanding Liabilities* |
45.7 |
45.5 |
44.0 |
41.9 |
Memo: 13th Finance Commission Roadmap |
Revenue Deficit |
2.3 |
1.2 |
0.0 |
-0.5 |
Fiscal Deficit |
4.8 |
4.2 |
3.0 |
3.0 |
Total Outstanding Liabilities |
52.5 |
50.5 |
47.5 |
44.8 |
# Excludes grants for creation of capital assets from the total revenue
expenditure
* Includes external debt at current exchange rates and excludes part of
NSSF and total MSS liabilities.
Note: Figures in parentheses represent budget estimates. |
The GFD-GDP ratio is budgeted to decline to 5.1
per cent during 2012-13 (Statement 1). The correction
of one percentage point in revenue deficit-GDP ratio in
2012-13 is attempted to be achieved through both
revenue-enhancing (especially indirect tax measures
and non-tax revenues through spectrum auction
receipts) and expenditure control measures, viz.,
restricting expenditure on subsidies to 2 per cent of GDP (Tables 3 and 4).
Table 3: Revenue Account of Central Government |
(As percentage of GDP) |
| |
2011-12 (BE) |
2011-12 (RE) |
Variation 3 =(2-1) |
2012-13 (BE) |
Variation 5 = (4-2) |
| |
1 |
2 |
3 |
4 |
5 |
Revenue Receipts |
8.9 |
8.6 |
-0.3 |
9.2 |
0.6 |
Revenue Expenditure |
12.3 |
13.0 |
0.7 |
12.7 |
-0.3 |
Revenue Deficit |
3.4 |
4.4 |
1.0 |
3.4 |
-1.0 |
RE: Revised Estimates. BE: Budget Estimates. |
Table 4: Revenue Account – Central Government |
(per cent of GDP) |
|
2008-09 |
2009-10 |
2010-11 |
2011-12
(RE) |
2012-13
(BE) |
|
1 |
2 |
3 |
4 |
5 |
Revenue Receipts |
9.6 |
8.9 |
10.3 |
8.6 |
9.2 |
(i) Tax revenue( Net) |
7.9 |
7.1 |
7.4 |
7.2 |
7.6 |
(ii) Non Tax Revenue |
1.7 |
1.8 |
2.8 |
1.4 |
1.6 |
Revenue Expenditure |
14.1 |
14.1 |
13.6 |
13.0 |
12.7 |
Revenue Deficit |
4.5 |
5.2 |
3.3 |
4.4 |
3.4 |
Memo Item: |
Effective Revenue Deficit |
– |
– |
2.1 |
2.9 |
1.8 |
In recognition of the difficulty in achieving the
zero revenue deficit-GDP ratio as envisaged by the 13th Finance Commission, the government intends to focus
on eliminating effective revenue deficit-GDP ratio
(excluding capital grants) by 2014-15 (Chart 1, Table 2).
The fiscal deficit of the Centre continues to be
predominantly structural in nature (Chart 2). In this
context, the introduction of amendments to the FRBM
Act, 2003 as part of Finance Bill, 2012 and also
incorporation of ‘Medium-term Expenditure Framework
statement’ in the Act are significant initiatives towards
fiscal consolidation in 2012-13. The latter would set out
three-year rolling targets for expenditure indicators,
which could improve quality of public expenditure
management.
Receipts Pattern
Gross tax revenues in 2011-12 (RE) turned out to
be lower by around 3 per cent over the budgeted level,
mainly on account of a shortfall in direct tax collections,
particularly corporation tax (Statement 2).
Notwithstanding a shortfall of `146 billion on account
of non-materialisation of auction of telecommunication
spectrum and FM phase III, non-tax revenue receipts
in 2011-12 (RE) were only marginally lower than the
budgeted level, aided in part by higher transfer of
dividends and profits from Public Sector Undertakings.
In 2012-13, the government seeks to increase the
tax-GDP ratio by 0.5 percentage point, through roll-back
of standard excise tax rates to 12 per cent, widening of
the service tax base and rationalisation of customs duty
rates. Reflecting the impact of these measures, the
budgeted revenue buoyancies for customs duties and
excise duties in 2012-13 exceed the pre-crisis level
(Table 5). Additional resource mobilisation measures
on the indirect tax front are expected to increase gross
tax revenues by 4.6 per cent, while non-tax revenue is
expected to increase by nearly 32 per cent, mainly on
account of an estimated receipt of `400 billion from
auction of telecommunication spectrum in 2012-13.
Table 5: Tax Buoyancy* |
|
2007-
08 |
2008-09 |
2009-
10 |
2010-
11 |
2011-
12 (RE) |
2012-
13 (BE) |
|
1 |
2 |
3 |
4 |
5 |
6 |
Corporation Tax |
2.1 |
0.8 |
1.0 |
1.2 |
0.6 |
1.0 |
Income Tax |
2.4 |
0.1 |
0.7 |
0.6 |
1.1 |
1.0 |
Customs Duty |
1.3 |
-0.3 |
-1.1 |
3.3 |
0.8 |
1.6 |
Union Excise Duty |
0.3 |
-0.9 |
-0.3 |
1.7 |
0.6 |
2.1 |
Service Tax |
2.3 |
1.5 |
-0.3 |
1.1 |
2.1 |
2.2 |
Gross Tax Revenue |
1.6 |
0.2 |
0.2 |
1.4 |
0.8 |
1.4 |
RE: Revised Estimates BE: Budget Estimates
* Calculated as ratios of tax growth to nominal GDP growth. |
Assumed High Tax Buoyancy Appears
Optimistic
The implied tax buoyancy for 2012-13 is 1.391,
which is significantly higher than the long-term average
tax buoyancy for the period 2003-04 to 2011-12 (1.11)
as well as the average for the recent period 2010-11 to
2011-12 (1.14). The high service tax buoyancy may be
sustained provided that the government is able to
ensure greater compliance. In this context, it is
pertinent to note that the amount under dispute as a
proportion of arrears of the respective tax was the
highest for service tax in 2010-11 (Table 6).
Table 6: Amount Under Dispute |
(As per cent of respective tax arrears) |
|
Corporation
Tax |
Personal
Income
Tax |
Customs |
Union
Excise |
Service
Tax |
Total
amount
under
dispute |
|
1 |
2 |
3 |
4 |
5 |
6 |
2004-05 |
77.0 |
40.6 |
68.0 |
81.6 |
56.1 |
58.8 |
2005-06 |
74.7 |
84.2 |
75.1 |
69.0 |
79.5 |
78.0 |
2006-07 |
68.3 |
61.6 |
70.6 |
69.6 |
78.8 |
66.0 |
2007-08 |
58.9 |
58.7 |
74.6 |
70.6 |
74.2 |
61.8 |
2008-09 |
60.5 |
55.4 |
74.6 |
63.0 |
73.9 |
60.6 |
2009-10 |
66.3 |
55.9 |
57.8 |
77.8 |
90.7 |
64.6 |
2010-11 |
69.6 |
77.4 |
63.5 |
79.3 |
82.9 |
75.4 |
Source: Budget documents of the Central government. |
Disinvestment Continues to be Treated as
Non-debt Budgetary Receipt
The disinvestment receipts are placed at `300
billion for 2012-13 and these would continue to be used for financing budgetary expenditures in 2012-13 as was
done during 2009-10 to 2011-12.
Expenditure Pattern
Revenue expenditure growth in 2011-12 (RE)
remained higher than the budgeted level, mainly on
account of the non-plan components, particularly
subsidies and interest payments. However, the revenue
expenditure growth is budgeted to decline in 2012-13,
while capital expenditure (both plan and non-plan
components) is expected to increase sharply. The
restraint on non-plan revenue expenditure growth is
critical to ensure that the fiscal consolidation going
forward is sustainable, and not excessively reliant on
revenue augmentation. However, non-plan expenditure
may remain within the budget estimates for 2012-13
provided the government adheres to its commitment
of capping subsidies (Table 8).
Considerable upside Risks on Budgeted
Subsidies
It is recognised that some subsidies for development
purposes are inevitable but subsides which do not reach
the intended beneficiaries or are not in tune with the
macroeconomic fundamentals should be rationalised.
The budgeted reduction in expenditure on subsidies
is mainly on account of a decline of over 36 per cent in
petroleum subsidy in 2012-13. The compensation to
oil marketing companies for under-recoveries budgeted
at `400 billion for 2012-13 may turn out to be inadequate
in the absence of deregulation of diesel prices, given the likelihood of a spillover of petroleum subsidy
payments for the last quarter of 2011-12 and continued
pressure on global crude oil prices. Although the
government has indicated that subsidies related to food
and for administering the Food Security Act will be fully
provided for, the budgeted growth of only 3 per cent
in food subsidy in 2012-13 poses the risk of a slippage
in adhering to the budget estimates (Table 8). It may
also be noted that it could be difficult to keep the
expenditure on subsidies under control purely through
better targeting and direct cash transfer mechanisms.
Table 7: Major Items of Expenditure |
(Amount in ` billion) |
Items |
2010-11 |
2011-12(RE) |
2012-13(BE) |
Variation (in per cent) |
2 over 1 |
3 over 2 |
| |
1 |
2 |
3 |
4 |
5 |
Revenue Expenditure |
10,407.23 |
11,619.40 |
12,861.09 |
11.6 |
10.7 |
Capital Expenditure |
1,566.05 |
1,567.80 |
2,048.16 |
0.1 |
30.6 |
Total expenditure |
11,973.28 |
13,187.20 |
14,909.25 |
10.1 |
13.1 |
Non-Plan |
|
|
|
|
|
1. Interest Payments |
2,340.22 |
2,756.18 |
3,197.59 |
17.8 |
16.0 |
2. Grants to States |
497.90 |
553.22 |
642.11 |
11.1 |
16.1 |
3. Subsidies |
1,734.20 |
2,162.97 |
1,900.15 |
24.7 |
-12.2 |
Total Non-Plan Expenditure |
8,182.99 |
8,921.16 |
9,699.00 |
9.0 |
8.7 |
Plan |
|
|
|
|
|
1. Central Plan |
2,859.50 |
3,214.05 |
3,910.27 |
12.4 |
21.7 |
2. Central Assistance for State and UT Plans |
930.79 |
1,051.99 |
1,299.98 |
13.0 |
23.6 |
Total Plan Expenditure |
3,790.29 |
4,266.04 |
5,210.25 |
12.6 |
22.1 |
RE: Revised Estimates BE: Budget Estimates |
Table 8: Total Subsidies |
(Amount in ` billion) |
Items |
2010-11 |
2011-12 (BE) |
2011-12 (BE) |
2012-13 (RE) |
Amount |
per cent to GDP |
Amount |
per cent to GDP |
Amount |
per cent to GDP |
Amount |
per cent to GDP |
| |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
Total Subsidies |
1,734.20 |
2.3 |
1,435.70 |
1.6 |
2,162.97 |
2.4 |
1,900.15 |
1.9 |
i. Food |
638.44 |
0.8 |
605.73 |
0.7 |
728.23 |
0.8 |
750.00 |
0.7 |
ii. Fertiliser |
623.01 |
0.8 |
499.98 |
0.6 |
671.99 |
0.8 |
609.74 |
0.6 |
iii. Petroleum |
383.71 |
0.5 |
236.40 |
0.3 |
684.81 |
0.8 |
435.80 |
0.4 |
iv. Interest subsidy |
46.80 |
0.1 |
68.69 |
0.1 |
57.91 |
0.1 |
79.68 |
0.1 |
v. Other subsidies |
42.24 |
0.1 |
19.24 |
0.0 |
20.03 |
0.0 |
24.93 |
0.0 |
RE: Revised Estimates. BE: Budget Estimates |
Quality of Expenditure
The growth rates of both revenue and non-plan
expenditures are placed lower in 2012-13. The share of capital component in total expenditure is, however,
budgeted to increase. The capital outlay-GDP ratio is
budgeted to increase to 2.9 per cent in 2012-13 from
2.1 per cent in 2011-12 (RE), mainly on account of
enhanced non-defence capital outlay.
The Central plan outlay is budgeted to increase by
16.7 per cent during 2012-13 with increase in
allocations, particularly for industry and minerals,
social development, communications and science,
technology and environment (Table 9).
Table 9: Central Plan Outlay by Heads of Development |
(Amount in ` billion) |
Item |
2010-11 |
2011-12 (BE) |
2011-12 (RE) |
2012-13 (BE) |
1 |
2 |
3 |
4 |
5 |
1. Agriculture |
157.16 |
147.44 |
148.55 |
176.92 |
|
(3.4) |
(2.5) |
(2.7) |
(2.7) |
2. Rural Development |
523.97 |
552.88 |
481.28 |
507.29 |
|
(11.3) |
(9.3) |
(8.6) |
(7.8) |
3. Irrigation and Flood Control |
4.76 |
5.65 |
4.89 |
12.75 |
|
(0.1) |
(0.1) |
(0.1) |
(0.2) |
4. Energy |
1109.77 |
1554.95 |
1471.90 |
1548.42 |
of which: |
(23.9) |
(26.2) |
(26.4) |
(23.8) |
a) Power |
467.45 |
727.54 |
696.80 |
695.08 |
|
(10.1) |
(12.3) |
(12.5) |
(10.7) |
b) Petroleum |
582.11 |
732.16 |
675.88 |
725.97 |
|
(12.5) |
(12.4) |
(12.1) |
(11.1) |
5. Industry and Minerals |
359.51 |
452.14 |
405.81 |
572.27 |
|
(7.7) |
(7.6) |
(7.3) |
(8.8) |
6. Transport |
942.05 |
1168.61 |
1092.05 |
1253.57 |
|
(20.3) |
(19.7) |
(19.6) |
(19.2) |
7. Communications |
103.36 |
202.56 |
119.94 |
154.11 |
|
(2.2) |
(3.4) |
(2.1) |
(2.4) |
8. Science, Technology and Environment |
119.21 |
161.86 |
127.13 |
165.92 |
|
(2.6) |
(2.7) |
(2.3) |
(2.5) |
9. Social Services |
1172.96 |
1448.16 |
1480.60 |
1789.06 |
|
(25.3) |
(24.4) |
(26.5) |
(27.5) |
10. Others |
150.41 |
230.32 |
249.57 |
334.78 |
|
(3.2) |
(3.9) |
(4.5) |
(5.1) |
Total (1 to 10) |
4643.16 |
5924.57 |
5581.72 |
6515.09 |
|
(100.0) |
(100.0) |
(100.0) |
(100.0) |
To be financed by: |
|
|
|
|
1. Budgetary Support |
2,859.50 |
3,355.21 |
3,214.06 |
3,910.27 |
2. Internal and Extra
Budgetary Resources of
Public Enterprises, etc. |
1,783.66 |
2,569.36 |
2,367.66 |
2,604.82 |
Note: Figures in parentheses represent percentage to total. |
Financing Pattern of Fiscal Deficit
Fiscal deficit would continue to be largely financed
by market borrowings during 2012-13 (Table 10 and Statement 3). The net market borrowings through dated
securities for 2012-13 as announced in the Union
Budget, are `4,790 billion. The Budget 2012-13 has also
envisaged net short-term borrowings (including all
Treasury Bills) of `90 billion, thereby funding about 2
per cent of the GFD, substantially lower than about 22
per cent in 2011-12 (RE). The higher budgeted market
borrowings could put pressure on yields, especially at
the long end. Such pressures could exacerbate
considerably if credit demand picks up with recovery
in growth, increasing the interest burden on the
Government and crowding out private investment. Any further slippage could come into conflict with the
objective of fiscal-monetary coordination.
Table 10: Financing Pattern of Gross Fiscal Deficit |
(Amount in ` billion) |
Item |
2011-12 (BE) |
2011-12 (RE) |
2012-13 (BE) |
| |
1 |
2 |
3 |
Gross Fiscal Deficit |
4,128.17 |
5,219.80 |
5,135.90 |
|
(100.0) |
(100.0) |
(100.0) |
Financed by |
|
|
|
Net Market Borrowings* |
3,531.28 |
4,843.04 |
4,930.00 |
|
(85.5) |
(92.8) |
(96.0) |
Small Savings (net) |
241.82 |
-103.02 |
11.98 |
|
(5.9) |
(-2.0) |
(0.2) |
External Assistance |
145.00 |
103.11 |
101.48 |
|
(3.5) |
(2.0) |
(2.0) |
State Provident Fund |
100.00 |
100.00 |
120.00 |
|
(2.4) |
(1.9) |
(2.3) |
NSSF |
0.94 |
60.80 |
49.40 |
|
(0.0) |
(1.2) |
(1.0) |
Draw Down of Cash Balances |
200.00 |
-246.64 |
– |
|
(4.8) |
(-4.7) |
– |
Others |
-90.87 |
462.51 |
-76.96 |
|
(-2.2) |
(8.9) |
(-1.5) |
– Nil RE: Revised Estimates BE: Budget Estimates
* Includes Dated Securities and 364-day Treasury Bills only.
Note: Figures in parenthesis represent percentages to GFD. |
Resource Transfers from the Centre to States
to Increase
Assessing the revenue raising capacity as well as
expenditure commitments of the Centre and States,
the Thirteenth Finance Commission (ThFC) had
recommended an increase in vertical devolution of
taxes and grants-in-aid from Centre to States for its
Award period (2010-15). Consequently, tax devolution
as well as gross and net transfers to the States as ratios
to GDP increased in 2010-11. However, slippages in tax
revenues along with deterioration in overall fiscal
performance of the Centre led to lower gross and net
transfers (0.2 percentage point of GDP each) in 2011-12
(RE). Reflecting this shortfall, both tax devolution and
grants-in-aid turned out to be lower in 2011-12 (RE)
than their budgeted levels. However, gross and net
transfers as ratios to GDP are budgeted to increase by
0.2 percentage point each to 5.2 per cent and 5.1 per
cent, respectively, in 2012-13 (Table 11). In absolute
terms, tax devolution from the Centre to States and grants-in-aid are budgeted to increase by 18.2 per cent
and 19.4 per cent, respectively, during 2012-13.
Table 11: Gross and Net Transfers from Centre to States |
(Amount in ` billion) |
Items |
2010-11 |
2011-12 (BE) |
2011-12 (RE) |
2012-13 (BE) |
| |
1 |
2 |
3 |
4 |
1. Shareable Taxes from Centre |
2,193.03 |
2,634.58 |
2,554.14 |
3,019.21 |
2. Grants-in-Aid to States |
1,549.30 |
1,871.25 |
1,765.96 |
2,108.75 |
3. Loans from Centre |
102.27 |
100.33 |
130.23 |
120.13 |
4. Gross transfers (1 to 3) |
3,844.60 |
4,606.16 |
4,450.34 |
5,248.09 |
5. Repayment of loans to Centre |
92.09 |
93.05 |
112.47 |
94.18 |
6. Net Transfers (4-5) |
3,752.51 |
4,513.11 |
4,337.87 |
5,153.91 |
Gross Transfers/GDP |
5.0 |
5.2 |
5.0 |
5.2 |
Net Transfers/GDP |
4.9 |
5.1 |
4.9 |
5.1 |
RE: Revised Estimates. BE: Budget Estimates. |
III. Proposed Roadmap for Tax Reforms
While the Report of the Parliamentary Standing
Committee on DTC is being examined by the
Government, the Constitution Amendment Bill, a step
in the implementation of Goods and Services Tax (GST),
has been placed before the Parliamentary Standing
Committee. In the meantime, the drafting of model
legislation for Centre and State GST in consultation
with the State governments is under progress. The GST
Network, as a National Information Utility, will also be
operationalised by August 2012.
The base of service tax has been widened by
including, within the ambit of tax, all services other
than those in the negative list. Service tax rate has also
been raised from 10 per cent to 12 per cent. Measures
have also been taken to bring about harmonisation
between Central Excise and Service taxes. These include
the introduction of a common simplified registration
form and a common return for Central Excise and
Service Tax.
The rate of withholding tax on interest payments
on external commercial borrowings is proposed to be
reduced from 20 per cent to 5 per cent for three years
for seven sectors, viz., power, airlines, roads and
bridges, ports and shipyards, affordable housing,
fertiliser and dams.
The Budget has proposed to introduce a General
Anti-Avoidance Rule (GAAR) in order to counter
aggressive tax avoidance schemes, while ensuring that
it is used only for appropriate cases, by enabling a
review by the GAAR panel.
IV. Major Policy Initiatives
Agriculture Sector to address food security
concerns through concerted efforts; with
higher investments and credit availability
Agriculture continues to be a priority of the
government and is driven by the objective to achieve
an aggregate growth of at least 4 per cent in agriculture
sector during 2012-2017. The focus is to address the
supply bottlenecks in agriculture through higher plan
outlay, enhancement in allocations for specific schemes,
such as, Rashtriya Krishi Vikas Yojana, besides
expanding the coverage of National Food Security
Mission and strengthening the Mission for Protein
Supplement. Allocation for extending Green Revolution
to Eastern India has been enhanced to ` 10 billion in
2012-13. The targeted credit flow to farmers is also
placed higher at ` 5,750 billion in 2012-13 (` 4,750
billion in 2011-12), while the interest subvention
scheme of crop loans to farmers at 7 per cent is to be
continued in 2012-13.
Infrastructure initiatives to improve
availability of resources and encouragement
for adopting PPP mode of investment
Recognising inadequate infrastructure as a
constraining factor to achievement of higher growth,
the Budget has emphasised the need for a massive
expansion in investment in infrastructure during 2012-
13. The energy needs of rapid growth will pose a major
challenge since these requirements have to be met in
an environment where domestic energy prices are
constrained and world energy prices are high and likely
to rise further. Since India’s domestic energy supplies
are limited, dependence upon imports will increase.
Even in the case of coal, import dependence is projected
to increase as the growth of thermal generation will
require coal supplies which cannot be fully met from
domestic mines. In this context, the budget has
proposed a slew of steps including customs duty exemption on imported fuel and lower levy on overseas
funds for projects to provide relief to crisis-hit power
sector. Permitting power companies to tap external
commercial borrowing (ECB) route to part re-finance
rupee debt on power plants and increasing power
sector’s tax-free bonds limit to ` 100 billion from ` 50
billion is expected to provide a boost to this sector. The
increase in the limit of tax-free bonds to `600 billion
for financing infrastructure projects in 2012-13 could
help to revive investment activities in this sector.
Inclusive development strategy to be carried
forward in 2012-13
The Central government has taken definite steps
to create food security at the household level by making
food a legal entitlement for all targeted people,
especially for the poor and vulnerable segments of our
population. The National Food Security Bill, 2011 is
before the Parliamentary Standing Committee. To
ensure that the objectives of the National Food Security
Bill are effectively realised, a Public Distribution System
Network is being created using the Aadhaar platform.
A National Information Utility for the computerisation
of PDS is being created. It is expected to become
operational by December 2012. Following the decision
taken in the Prime Minister’s National Council on
India’s Nutritional Challenges, a multi-sectoral
programme to address maternal and child malnutrition
in selected 200 high-burden districts is being rolled out
during 2012-13. It will harness synergies across
nutrition, sanitation, drinking water, primary health
care, women education, food security and consumer
protection schemes. The allocation for social services
has gone up to 27.5 per cent in 2012-13 from 24.4 per
cent of Central Plan Outlays (Table 10) in 2011-12.
Education and Skill Development Initiatives
The Budget has continued to work towards
universalisation of education through enhanced
allocations under Sarva Shiksha Abhiyan (SSA), which
has become a primary vehicle for implementation of
the Right to Education (RTE) Act from April 1, 2010.
Simultaneously, the government has accorded
importance to quality education by increasing
allocations for the Rashtriya Madhyamik Shiksha Abhiyan (RMSA). The Budget also seeks to carry forward
the long-term objective of skill-building through
projects under National Skill Development Corporation
(NSDC). In order to improve the flow of institutional
credit for skill development, the budget proposes to set
up a separate Credit Guarantee Fund. This will benefit
youth in acquiring market-oriented skills.
Financial Sector initiatives directed at
deepening and broadening of financial sector
To avoid multiplicity of registration and data
upkeep, a central Know Your Customer (KYC) depository
has also been announced in the Budget. It is expected
to enable banks to share the information regarding the
customers and to avoid multiplicity of registration. As
a next step for expediting the Financial Inclusion
process, the Swabhimaan campaign is proposed to be
extended to North-Eastern and hilly States for
habitations having population in excess of 1,000 and
to other habitations with population above 2,000 as per
Census 2011. The budget proposes to extend the
scheme of capitalisation of weak RRBs by another 2
years to enable all the States to contribute their share.
Budget and Financial Markets
In order to encourage savings in financial
instruments and to improve the depth of domestic
capital market, a new scheme called Rajiv Gandhi Equity
Savings Scheme has been proposed in the Budget. The
scheme will have lock-in period of three years; it will
allow income tax deductions of 50 per cent to new retail
investors having annual income below ` 1 million and
investment of up to `50,000. Other reforms proposed
in the Budget to deepen capital markets include,
allowing Qualified Foreign Investors (QFIs) to access
the Indian corporate bond market, simplifying the
process of issuing Initial Public Offers (IPOs), lowering
their costs and helping companies reach more retail
investors in small towns. A provision of `158.88 billion
has been made in the budget for capitalisation of public
sector banks, RRBs and other financial institutions
including NABARD. This move is expected to equip the
banking sector to meet the growing credit requirements
of the economy while meeting the parameters of
financial soundness. The proposed recapitalisation of the RRBs and NABARD would facilitate further flow of
institutional credit to the agricultural sector.
V. Overall Assessment
The Union Budget 2012-13 sets out a clear roadmap
for fiscal consolidation by budgeting a significant
reduction in GFD-GDP ratio beginning from 2012-13,
thereby setting the stage for attaining a ‘faster,
sustainable and more inclusive growth’ during the 12th Five-Year Plan period. This would help to create the
necessary space for private investment. The fiscal
correction for the ensuing year is primarily revenue-driven
through widening of base of the services tax,
and partial rollback of crisis-related reductions in
various indirect tax rates. The revenue outcome would,
however, hinge on the realisation of the budgeted tax buoyancies which would be a challenging task. On the
expenditure side, the capping of subsidies coupled with
better targeting of beneficiaries is a positive step,
though the Budget has not indicated any specific
measures to restrict the expenditure on subsidies to 2
per cent of GDP. The achievement of this objective
would necessitate steps to allow the pass-through of
international crude oil and fertiliser prices to domestic
prices. On the financing side, the envisaged market
borrowings by the government for 2012-13 could pose
a challenge for monetary management, particularly if
private investment demand revives. A credible fiscal
consolidation accompanied with higher capital outlays
would have a positive impact on private investment
sentiments and augur well for the revival of economic
growth in 2012-13.
Statement 1
Budget at a Glance |
(` Billion) |
Items |
2010-11 (Accounts) |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
| |
1 |
2 |
3 |
4 |
1. Revenue Receipts (i+ii) |
7,884.71 |
7,898.92 |
7,669.89 |
9,356.85 |
i) Tax Revenue (Net to Centre) |
5,698.69 |
6,644.57 |
6,422.52 |
7,710.71 |
ii) Non-tax Revenue |
2,186.02 |
1,254.35 |
1,247.37 |
1,646.14 |
of which: Interest Receipts |
197.34 |
195.78 |
201.25 |
192.31 |
2. Capital Receipts |
4,088.57 |
4,678.37 |
5,517.30 |
5,552.41 |
of which: |
|
|
|
|
i) Market Borrowings |
3,263.99 |
3,531.28 |
4,843.04 |
4,930.00 |
ii) Recoveries of Loans |
124.20 |
150.20 |
142.58 |
116.50 |
iii) Disinvestment of Equity in PSUs |
228.46 |
400.00 |
154.93 |
300.00 |
3. Total Receipts (1+2) |
11,973.28 |
12,577.29 |
13,187.20 |
14,909.25 |
4. Revenue Expenditure (i + ii) |
10,407.23 |
10,971.62 |
11,619.40 |
12,861.09 |
i) Non-Plan |
7,264.91 |
7,335.58 |
8,157.40 |
8,655.96 |
ii) Plan |
3,142.32 |
3,636.04 |
3,462.01 |
4,205.13 |
5. Capital Expenditure (i + ii) |
1,566.05 |
1,605.67 |
1,567.80 |
2,048.16 |
i) Non-Plan |
918.08 |
826.24 |
763.76 |
1,043.04 |
ii) Plan |
647.97 |
779.43 |
804.04 |
1,005.12 |
6. Total Non-Plan Expenditure (4i + 5i) |
8,182.99 |
8,161.82 |
8,921.16 |
9,699.00 |
of which: |
|
|
|
|
i) Interest Payments |
2,340.22 |
2,679.86 |
2,756.18 |
3,197.59 |
ii) Defence |
1,541.17 |
1,644.15 |
1,709.37 |
1,934.07 |
iii) Subsidies |
1,734.20 |
1,435.70 |
2,162.97 |
1,900.15 |
7. Total Plan Expenditure (4ii + 5ii) |
3,790.29 |
4,415.47 |
4,266.04 |
5,210.25 |
8. Total Expenditure (6+7=4+5) |
11,973.28 |
12,577.29 |
13,187.20 |
14,909.25 |
9. Revenue Deficit (4-1) |
2,522.52 |
3,072.70 |
3,949.51 |
3,504.24 |
|
(3.3) |
(3.4) |
(4.4) |
(3.4) |
10. Effective Revenue Deficit |
1,647.65 |
1,604.17 |
2,574.46 |
1,857.52 |
|
(2.1) |
(1.8) |
(2.9) |
(1.8) |
11. Gross Fiscal Deficit (8-(1+2ii+2iii)) |
3,735.91 |
4,128.17 |
5,219.80 |
5,135.90 |
|
(4.9) |
(4.6) |
(5.9) |
(5.1) |
12. Gross Primary Deficit (10-6i) |
1,395.69 |
1,448.31 |
2,463.62 |
1,938.31 |
|
(1.8) |
(1.6) |
(2.8) |
(1.9) |
(Contd.) |
Statement 1
Budget at a Glance (Concld.) |
(` Billion) |
Items |
Variation |
Col. 3 over Col. 2 |
Col. 3 over Col. 1 |
Col. 4 over Col. 3 |
Amount |
Per cent |
Amount |
Per cent |
Amount |
Per cent |
| |
5 |
6 |
7 |
8 |
9 |
10 |
1. Revenue Receipts (i+ii) |
-229.03 |
-2.9 |
-214.82 |
-2.7 |
1,686.96 |
22.0 |
i) Tax Revenue (Net to Centre) |
-222.05 |
-3.3 |
723.83 |
12.7 |
1,288.19 |
20.1 |
ii) Non-tax Revenue |
-6.98 |
-0.6 |
-938.65 |
-42.9 |
398.77 |
32.0 |
of which: Interest Receipts |
5.47 |
2.8 |
3.91 |
2.0 |
-8.94 |
-4.4 |
2. Capital Receipts |
838.93 |
17.9 |
1,428.73 |
34.9 |
35.11 |
0.6 |
of which: |
|
|
|
|
|
|
i) Market Borrowings |
1,311.76 |
37.1 |
1,579.05 |
48.4 |
86.96 |
1.8 |
ii) Recoveries of Loans |
-7.62 |
-5.1 |
18.38 |
14.8 |
-26.08 |
-18.3 |
iii) Disinvestment of Equity in PSUs |
-245.07 |
-61.3 |
-73.53 |
-32.2 |
145.07 |
93.6 |
3. Total Receipts (1+2) |
609.91 |
4.8 |
1,213.92 |
10.1 |
1,722.05 |
13.1 |
4. Revenue Expenditure (i + ii) |
647.79 |
5.9 |
1,212.18 |
11.6 |
1,241.68 |
10.7 |
i) Non-Plan |
821.82 |
11.2 |
892.49 |
12.3 |
498.56 |
6.1 |
ii) Plan |
-174.03 |
-4.8 |
319.69 |
10.2 |
743.12 |
21.5 |
5. Capital Expenditure (i + ii) |
-37.87 |
-2.4 |
1.75 |
0.1 |
480.36 |
30.6 |
i) Non-Plan |
-62.48 |
-7.6 |
-154.32 |
-16.8 |
279.28 |
36.6 |
ii) Plan |
24.61 |
3.2 |
156.07 |
24.1 |
201.08 |
25.0 |
6. Total Non-Plan Expenditure (4i + 5i) |
759.34 |
9.3 |
738.17 |
9.0 |
777.84 |
8.7 |
of which: |
|
|
|
|
|
|
i) Interest Payments |
76.32 |
2.8 |
415.96 |
17.8 |
441.41 |
16.0 |
ii) Defence |
65.22 |
4.0 |
168.20 |
10.9 |
224.70 |
13.1 |
iii) Subsidies |
727.27 |
50.7 |
428.77 |
24.7 |
-262.82 |
-12.2 |
7. Total Plan Expenditure (4ii + 5ii) |
-149.42 |
-3.4 |
475.76 |
12.6 |
944.20 |
22.1 |
8. Total Expenditure (6+7=4+5) |
609.91 |
4.8 |
1,213.92 |
10.1 |
1,722.05 |
13.1 |
9. Revenue Deficit (4-1) |
876.81 |
28.5 |
1,426.99 |
56.6 |
-445.27 |
-11.3 |
10. Effective Revenue Deficit |
970.29 |
60.5 |
926.81 |
56.3 |
-716.94 |
-27.8 |
11. Gross Fiscal Deficit (8-(1+2ii+2iii)) |
1,091.63 |
26.4 |
1,483.89 |
39.7 |
-83.90 |
-1.6 |
12. Gross Primary Deficit (10-6i) |
1,015.31 |
70.1 |
1,067.93 |
76.5 |
-525.31 |
-21.3 |
Notes : 1. Capital Receipts are net of repayments.
2. Market borrowings include dated securities and 364 day Treasury Bills.
Source : Budget documents of the Government of India, 2012-13 |
Statement 2
Transactions on Revenue Account |
(` Billion) |
Items |
2010-11 (Accounts) |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
| |
1 |
2 |
3 |
4 |
I. Revenue Receipts (A+B) |
7,884.71 |
7,898.92 |
7,669.89 |
9,356.85 |
A. Tax Revenue(Net to Centre)(a-b-c) |
5,698.69 |
6,644.57 |
6,422.52 |
7,710.71 |
a) Gross Tax Revenue |
7,930.72 |
9,324.40 |
9,016.64 |
10,776.12 |
|
(10.3) |
(10.5) |
(10.1) |
(10.6) |
of which : |
|
|
|
|
1 Corporation Tax |
2,986.88 |
3,599.90 |
3,276.80 |
3,732.27 |
2 Personal Income Tax |
1,390.69 |
1,645.26 |
1,666.79 |
1,898.66 |
3 Customs Duty |
1,358.13 |
1,517.00 |
1,530.00 |
1,866.94 |
4 Union Excise Duty |
1,377.01 |
1,635.50 |
1,500.75 |
1,937.29 |
5 Service Tax |
710.16 |
820.00 |
950.00 |
1,240.00 |
6 Securities Transaction Tax |
71.55 |
75.00 |
52.00 |
59.20 |
7 Banking Cash Transaction Tax |
1.58 |
0.00 |
0.00 |
0.00 |
8 Taxes of UTs (Net of Assignments to Local Bodies) |
19.82 |
19.73 |
23.17 |
23.10 |
9 Fringe Benefit Tax |
1.68 |
0.00 |
0.00 |
0.00 |
10 Other Taxes and Duties |
13.22 |
12.01 |
17.13 |
18.66 |
b) States’ Share |
2,193.03 |
2,634.58 |
2,554.14 |
3,019.21 |
c) Surcharge transferred to NCCF# |
39.00 |
45.25 |
39.98 |
46.20 |
B. Non-Tax Revenue |
2,186.02 |
1,254.35 |
1,247.37 |
1,646.14 |
of which : |
|
|
|
|
1 Interest Receipts |
197.34 |
195.78 |
201.25 |
192.31 |
2 Dividends and Profits |
479.92 |
426.24 |
501.22 |
501.53 |
3 External Grants |
26.73 |
21.73 |
34.77 |
28.87 |
4 Non-tax Receipts of UTs |
10.97 |
11.69 |
11.05 |
11.36 |
5 Other Non-Tax Revenue |
1,471.06 |
598.91 |
499.08 |
912.07 |
II. Revenue Expenditure (A+B) |
10,407.23 |
10,971.62 |
11,619.40 |
12,861.09 |
A. Non-Plan Expenditure |
7,264.91 |
7,335.58 |
8,157.40 |
8,655.96 |
of which : |
|
|
|
|
1 Interest Payments |
2,340.22 |
2,679.86 |
2,756.18 |
3,197.59 |
2 Defence Revenue Expenditure |
920.61 |
952.16 |
1,047.93 |
1,138.28 |
3 Subsidies |
1,734.20 |
1,435.70 |
2,162.97 |
1,900.15 |
4 Non-Plan Grants to States and UTs |
497.90 |
663.11 |
553.22 |
642.11 |
B. Plan Expenditure (1+2) |
3,142.32 |
3,636.04 |
3,462.00 |
4,205.13 |
1 Central Plan |
2,324.54 |
2,682.87 |
2,525.96 |
3,035.28 |
2 Central Assistance for State and UT Plans |
817.78 |
953.17 |
936.04 |
1,169.85 |
III. Revenue Deficit (-)/Surplus(+) [ I-II ] |
-2,522.52 |
-3,072.70 |
-3,949.51 |
-3,504.24 |
(Contd.) |
Statement 2
Transactions on Revenue Account (Concld.) |
(` Billion) |
Items |
Variation |
Col. 3 over Col. 2 |
Col. 3 over Col. 1 |
Col. 4 over Col. 3 |
Amount |
Per cent |
Amount |
Per cent |
Amount |
Per cent |
| |
5 |
6 |
7 |
8 |
9 |
10 |
I. Revenue Receipts (A+B) |
-229.03 |
-2.9 |
-214.82 |
-2.7 |
1,686.96 |
22.0 |
A. Tax Revenue(Net to Centre)(a-b-c) |
-222.05 |
-3.3 |
723.83 |
12.7 |
1,288.19 |
20.1 |
a) Gross Tax Revenue |
-307.76 |
-3.3 |
1,085.92 |
13.7 |
1,759.48 |
19.5 |
of which : |
|
|
|
|
|
|
1 Corporation Tax |
-323.10 |
-9.0 |
289.92 |
9.7 |
455.47 |
13.9 |
2 Personal Income Tax |
21.53 |
1.3 |
276.10 |
19.9 |
231.87 |
13.9 |
3 Customs Duty |
13.00 |
0.9 |
171.87 |
12.7 |
336.94 |
22.0 |
4 Union Excise Duty |
-134.75 |
-8.2 |
123.74 |
9.0 |
436.54 |
29.1 |
5 Service Tax |
130.00 |
15.9 |
239.84 |
33.8 |
290.00 |
30.5 |
6 Securities Transaction Tax |
-23.00 |
-30.7 |
-19.55 |
-27.3 |
7.20 |
13.8 |
7 Banking Cash Transaction Tax |
0.00 |
- |
-1.58 |
-100.0 |
0.00 |
- |
8 Taxes of UTs (Net of Assignments to Local Bodies) |
3.44 |
17.4 |
3.35 |
16.9 |
-0.07 |
-0.3 |
9 Fringe Benefit Tax |
0.00 |
- |
-1.68 |
-100.0 |
0.00 |
- |
10 Other Taxes and Duties |
5.12 |
42.6 |
3.91 |
29.6 |
1.53 |
8.9 |
b) States’ Share |
-80.44 |
-3.1 |
361.11 |
16.5 |
465.07 |
18.2 |
c) Surcharge transferred to NCCF# |
-5.27 |
-11.6 |
0.98 |
2.5 |
6.22 |
15.6 |
B. Non-Tax Revenue |
-6.98 |
-0.6 |
-938.65 |
-42.9 |
398.77 |
32.0 |
of which : |
|
|
|
|
|
|
1 Interest Receipts |
5.47 |
2.8 |
3.91 |
2.0 |
-8.94 |
-4.4 |
2 Dividends and profits |
74.98 |
17.6 |
21.30 |
4.4 |
0.31 |
0.1 |
3 External Grants |
13.04 |
60.0 |
8.04 |
30.1 |
-5.90 |
-17.0 |
4 Non-tax Receipts of UTs |
-0.64 |
-5.5 |
0.08 |
0.7 |
0.31 |
2.8 |
5 Other Non-Tax Revenue |
-99.83 |
-16.7 |
-971.98 |
-66.1 |
412.99 |
82.8 |
II. Revenue Expenditure (A+B) |
647.78 |
5.9 |
1,212.17 |
11.6 |
1,241.69 |
10.7 |
A. Non-Plan Expenditure |
821.82 |
11.2 |
892.49 |
12.3 |
498.56 |
6.1 |
of which : |
|
|
|
|
|
|
1 Interest Payments |
76.32 |
2.8 |
415.96 |
17.8 |
441.41 |
16.0 |
2 Defence Revenue Expenditure |
95.77 |
10.1 |
127.32 |
13.8 |
90.35 |
8.6 |
3 Subsidies |
727.27 |
50.7 |
428.77 |
24.7 |
-262.82 |
-12.2 |
4 Non-Plan Grants to States and UTs |
-109.89 |
-16.6 |
55.32 |
11.1 |
88.89 |
16.1 |
B. Plan Expenditure (1+2) |
-174.04 |
-4.8 |
319.68 |
10.2 |
743.13 |
21.5 |
1 Central Plan |
-156.91 |
-5.8 |
201.42 |
8.7 |
509.32 |
20.2 |
2 Central Assistance for State and UT Plans |
-17.13 |
-1.8 |
118.26 |
14.5 |
233.81 |
25.0 |
III. Revenue Deficit (-)/Surplus(+) [ I-II ] |
-876.81 |
28.5 |
-1,426.99 |
56.6 |
445.27 |
-11.3 |
# : NCCF: National Calamity Contingency Fund.
Note: Figures in the parentheses are gross tax revenue as percentage of GDP.
Source: Budget Documents of the Government of India, 2012-13 |
Statement 3
Transactions on Capital Account |
(` Billion) |
Items |
2010-11 (Accounts) |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
| |
1 |
2 |
3 |
4 |
I. Capital Receipts (1 to 10) |
4,088.57 |
4,678.37 |
5,517.30 |
5,552.41 |
1. Market Borrowings |
3,263.99 |
3,531.28 |
4,843.04 |
4,930.00 |
2. Small Savings (net) |
112.33 |
241.82 |
-103.02 |
11.98 |
3. State Provident Funds |
125.14 |
100.00 |
100.00 |
120.00 |
4. Special Deposits (net) |
0.00 |
0.00 |
0.00 |
0.00 |
5. Reserve Funds and Deposits |
123.79 |
-100.60 |
-11.33 |
74.55 |
6. NSSF |
-85.86 |
0.94 |
60.80 |
49.40 |
7. Recovery of Loans and Advances |
124.20 |
150.20 |
142.58 |
116.50 |
8. Disinvestment of Equity Holding in Public Sector Enterprises |
228.46 |
400.00 |
154.93 |
300.00 |
9. External Borrowings |
235.56 |
145.00 |
103.11 |
101.48 |
10. Others |
-39.04 |
209.73 |
227.20 |
-151.50 |
II. Capital Expenditure (1+2) |
1,566.05 |
1,605.67 |
1,567.80 |
2,048.16 |
1. Non Plan Expenditure |
918.08 |
826.24 |
763.76 |
1,043.04 |
of which: Defence Capital |
620.56 |
691.99 |
661.44 |
795.79 |
2. Plan Expenditure (i+ii) |
647.97 |
779.43 |
804.04 |
1,005.12 |
i) Central Plan |
534.96 |
672.34 |
688.09 |
874.99 |
ii) Central Assistance for State and UT Plans |
113.01 |
107.09 |
115.95 |
130.13 |
III. Capital Surplus(+)/Deficit(-) [I-II] |
2,522.52 |
3,072.70 |
3,949.51 |
3,504.24 |
(Contd.) |
Statement 3
Transactions on Capital Account (Concld.) |
(` Billion) |
Items |
Variation |
Col. 3 over Col. 2 |
Col. 3 over Col. 1 |
Col. 4 over Col. 3 |
Amount |
Per cent |
Amount |
Per cent |
Amount |
Per cent |
| |
5 |
6 |
7 |
8 |
9 |
10 |
I. Capital Receipts (1 to 10) |
838.93 |
17.9 |
1,428.73 |
34.9 |
35.11 |
0.6 |
1. Market Borrowings |
1,311.76 |
37.1 |
1,579.05 |
48.4 |
86.96 |
1.8 |
2. Small Savings (net) |
-344.84 |
-142.6 |
-215.35 |
-191.7 |
115.00 |
-111.6 |
3. State Provident Funds |
0.00 |
– |
-25.14 |
-20.1 |
20.00 |
20.0 |
4. Special Deposits (net) |
0.00 |
– |
0.00 |
– |
0.00 |
– |
5. Reserve Funds and Deposits |
89.27 |
-88.7 |
-135.12 |
-109.2 |
85.89 |
-757.8 |
6. NSSF |
59.86 |
– |
146.66 |
-170.8 |
-11.40 |
-18.8 |
7. Recovery of Loans and Advances |
-7.62 |
-5.1 |
18.38 |
14.8 |
-26.08 |
-18.3 |
8. Disinvestment of Equity Holding in Public Sector Enterprises |
-245.07 |
-61.3 |
-73.53 |
-32.2 |
145.07 |
93.6 |
9. External Borrowings |
-41.89 |
-28.9 |
-132.45 |
-56.2 |
-1.63 |
-1.6 |
10. Others |
17.47 |
8.3 |
266.23 |
-682.0 |
-378.70 |
-166.7 |
II. Capital Expenditure (1+2) |
-37.87 |
-2.4 |
1.75 |
0.1 |
480.36 |
30.6 |
1. Non Plan Expenditure |
-62.48 |
-7.6 |
-154.32 |
-16.8 |
279.28 |
36.6 |
of which: Defence Capital |
-30.55 |
-4.4 |
40.88 |
6.6 |
134.35 |
20.3 |
2. Plan Expenditure (i+ii) |
24.61 |
3.2 |
156.07 |
24.1 |
201.08 |
25.0 |
i) Central Plan |
15.75 |
2.3 |
153.13 |
28.6 |
186.90 |
27.2 |
ii) Central Assistance for State and UT Plans |
8.86 |
8.3 |
2.94 |
2.6 |
14.18 |
12.2 |
III. Capital Surplus(+)/Deficit(-) [I-II] |
876.81 |
28.5 |
1,426.99 |
56.6 |
-445.27 |
-11.3 |
- Not Available/abnormal growth due to very low / high base.
Notes : 1. Capital Receipts are net of repayments.
2. Market borrowings include dated securities and 364-day Treasury Bills.
Source : Budget documents of the Government of India, 2012-13 |
Statement 4
Financing of Gross Fiscal Deficit of the Central Government |
(` Billion) |
Year |
Internal Finance |
External Finance |
Total Finance/ Gross Fiscal Deficit (4+5) |
Market Borrowings # |
Other Borrowings @ |
Draw Down of Cash Balances * |
Total (1+2+3) |
| |
1 |
2 |
3 |
4 |
5 |
6 |
1990-91 |
80.01 |
221.03 |
113.47 |
414.51 |
31.81 |
446.32 |
|
(17.9) |
(49.5) |
(25.4) |
(92.9) |
(7.1) |
(100.0) |
1991-92 |
75.10 |
165.39 |
68.55 |
309.04 |
54.21 |
363.25 |
|
(20.7) |
(45.5) |
(18.9) |
(85.1) |
(14.9) |
(100.0) |
1992-93 |
36.76 |
188.66 |
123.12 |
348.54 |
53.19 |
401.73 |
|
(9.2) |
(47.0) |
(30.6) |
(86.8) |
(13.2) |
(100.0) |
1993-94 |
289.28 |
152.95 |
109.60 |
551.83 |
50.74 |
602.57 |
|
(48.0) |
(25.4) |
(18.2) |
(91.6) |
(8.4) |
(100.0) |
1994-95 |
203.26 |
328.34 |
9.61 |
541.21 |
35.82 |
577.03 |
|
(35.2) |
(56.9) |
(1.7) |
(93.8) |
(6.2) |
(100.0) |
1995-96 |
340.01 |
161.17 |
98.07 |
599.25 |
3.18 |
602.43 |
|
(56.4) |
(26.8) |
(16.3) |
(99.5) |
(0.5) |
(100.0) |
1996-97 |
190.93 |
314.69 |
131.84 |
637.46 |
29.87 |
667.33 |
|
(28.6) |
(47.2) |
(19.8) |
(95.5) |
(4.5) |
(100.0) |
1997-98 |
324.99 |
562.57 |
-9.10 |
878.46 |
10.91 |
889.37 |
|
(36.5) |
(63.3) |
-(1.0) |
(98.8) |
(1.2) |
(100.0) |
1998-99 |
689.88 |
426.50 |
-2.09 |
1,114.29 |
19.20 |
1,133.49 |
|
(60.9) |
(37.6) |
-(0.2) |
(98.3) |
(1.7) |
(100.0) |
1999-2000 |
620.76 |
405.97 |
8.64 |
1,035.37 |
11.80 |
1,047.17 |
|
(59.3) |
(38.8) |
(0.8) |
(98.9) |
(1.1) |
(100.0) |
2000-01 |
734.31 |
390.77 |
-11.97 |
1,113.11 |
75.05 |
1,188.16 |
|
(61.8) |
(32.9) |
-(1.0) |
(93.7) |
(6.3) |
(100.0) |
2001-02 |
908.12 |
460.38 |
-14.96 |
1,353.54 |
56.01 |
1,409.55 |
|
(64.4) |
(32.7) |
-(1.1) |
(96.0) |
(4.0) |
(100.0) |
2002-03 |
1,041.26 |
509.97 |
18.83 |
1,570.06 |
-119.34 |
1,450.72 |
|
(71.8) |
(35.2) |
(1.3) |
(108.2) |
-(8.2) |
(100.0) |
2003-04 |
888.70 |
518.33 |
-39.42 |
1,367.61 |
-134.88 |
1,232.73 |
|
(72.1) |
(42.0) |
-(3.2) |
(110.9) |
-(10.9) |
(100.0) |
2004-05 |
509.40 & |
615.62 |
-14.61 |
1,110.41 |
147.53 |
1,257.94 |
|
(40.5) |
(48.9) |
-(1.2) |
(88.3) |
(11.7) |
(100.0) |
2005-06 |
1,062.41 & |
536.10 |
-208.88 |
1,389.63 |
74.72 |
1,464.35 |
|
(72.6) |
(36.6) |
-(14.3) |
(94.9) |
(5.1) |
(100.0) |
2006-07 |
1,148.01 & |
147.82 |
45.18 |
1,341.01 |
84.72 |
1,425.73 |
|
(80.5) |
(10.4) |
(3.2) |
(94.1) |
(5.9) |
(100.0) |
2007-08 |
1,306.00 & |
141.68 |
-271.71 |
1,175.97 |
93.15 |
1,269.12 |
|
(102.9) |
(11.2) |
-(21.4) |
(92.7) |
(7.3) |
(100.0) |
2008-09 |
2,469.75 & |
351.68 |
438.34 |
3,259.77 |
110.15 |
3,369.92 |
|
(73.3) |
(10.4) |
(13.0) |
(96.7) |
(3.3) |
(100.0) |
2009-10 |
3,943.71 & |
144.60 |
-13.87 |
4,074.44 |
110.38 |
4,184.82 |
|
(94.2) |
(3.5) |
-(0.3) |
(97.4) |
(2.6) |
(100.0) |
2010-11 |
3,263.99 & |
172.06 |
64.30 |
3,500.35 |
235.56 |
3,735.91 |
|
(87.4) |
(4.6) |
(1.7) |
(93.7) |
(6.3) |
(100.0) |
2011-12 (RE) |
4,843.04 & |
520.29 |
-246.64 |
5,116.69 |
103.11 |
5,219.80 |
|
(92.8) |
(10.0) |
-(4.7) |
(98.0) |
(2.0) |
(100.0) |
2012-13 (BE) |
4,930.00 & |
104.42 |
0.00 |
5,034.42 |
101.48 |
5,135.90 |
|
(96.0) |
(2.0) |
- |
(98.0) |
(2.0) |
(100.0) |
RE : Revised Estimates. BE : Budget Estimates.
# : Includes dated securities and 364-day Treasury Bills.
@ : Other borrowings include small savings, state provident funds, special deposits, reserve funds, etc. For the years 1999-2000 to 2001-02, small
savings and public provident fund are represented by National Small Savings Fund (NSSF)’s investment in Central Government special securities
and hence form part of Centre’s internal debt.
* : Prior to 1997-98, represents variations in 91-day Treasury Bills issued net of changes in cash balances with the Reserve Bank.
& : Exclusive of amount raised under Market Stabilisation Scheme.
Note: Figures in parentheses represent percentages to total finance (gross fiscal deficit).
Source: Central Government Budget Documents. |
Statement 5
Central Plan Outlay by Heads of Development |
(` Billion) |
Items |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
Variation |
Col. 2 over Col. 1 |
Col. 3 over Col. 2 |
Amount |
Per cent |
Amount |
Per cent |
| |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
1. Agriculture |
147.44 |
148.55 |
176.92 |
1 |
0.8 |
28 |
19.1 |
|
(2.5) |
(2.7) |
(2.7) |
|
|
|
|
2. Rural Development* |
552.88 |
481.28 |
507.29 |
-72 |
-13.0 |
26 |
5.4 |
|
(9.3) |
(8.6) |
(7.8) |
|
|
|
|
3. Irrigation and Flood Control |
5.65 |
4.89 |
12.75 |
-1 |
-13.5 |
8 |
160.7 |
|
(0.1) |
(0.1) |
(0.2) |
|
|
|
|
4. Energy |
1,554.95 |
1,471.90 |
1,548.42 |
-83 |
-5.3 |
77 |
5.2 |
of which : |
(26.2) |
(26.4) |
(23.8) |
|
|
|
|
a) Power |
727.54 |
696.80 |
695.08 |
-31 |
-4.2 |
-2 |
-0.2 |
|
(12.3) |
(12.5) |
(10.7) |
|
|
|
|
b) Petroleum |
732.16 |
675.88 |
725.97 |
-56 |
-7.7 |
50 |
7.4 |
|
(12.4) |
(12.1) |
(11.1) |
|
|
|
|
5. Industry and Minerals |
452.14 |
405.81 |
572.27 |
-46 |
-10.2 |
166 |
41.0 |
|
(7.6) |
(7.3) |
(8.8) |
|
|
|
|
6. Transport ** |
1,168.61 |
1,092.05 |
1,253.57 |
-77 |
-6.6 |
162 |
14.8 |
|
(19.7) |
(19.6) |
(19.2) |
|
|
|
|
7. Communications |
202.56 |
119.94 |
154.11 |
-83 |
-40.8 |
34 |
28.5 |
|
(3.4) |
(2.1) |
(2.4) |
|
|
|
|
8. Science, Technology and Environment |
161.86 |
127.13 |
165.92 |
-35 |
-21.5 |
39 |
30.5 |
|
(2.7) |
(2.3) |
(2.5) |
|
|
|
|
9. Social Services # |
1,448.16 |
1,480.60 |
1,789.06 |
32 |
2.2 |
308 |
20.8 |
|
(24.4) |
(26.5) |
(27.5) |
|
|
|
|
10. Others |
230.32 |
249.57 |
334.78 |
19 |
8.4 |
85 |
34.1 |
|
(3.9) |
(4.5) |
(5.1) |
|
|
|
|
Total (1 to 10) |
5,924.57 |
5,581.72 |
6,515.09 |
-343 |
-5.8 |
933 |
16.7 |
|
(100.0) |
(100.0) |
(100.0) |
|
|
|
|
To be financed by : |
|
|
|
|
|
|
|
1. Budgetary Support |
3,355.21 |
3,214.06 |
3,910.27 |
-141.15 |
-4.2 |
696.21 |
21.7 |
|
(56.6) |
(57.6) |
(60.0) |
|
|
|
|
2. Internal and Extra Budgetary Resources (IEBR) of Public Enterprises, etc. |
2,569.36 |
2,367.66 |
2,604.82 |
-201.70 |
-7.9 |
237.16 |
10.0 |
|
(43.4) |
(42.4) |
(40.0) |
|
|
|
|
* Includes provision for rural housing but excludes provision for rural roads.
** Includes provision for rural roads.
# Excludes provision for rural housing.
Note : Figures in parentheses represent percentage to total.
Source : Budget documents of Government of India, 2012-13. |
Statement 6
Resources Transferred to States and Union Territory Governments |
(` Billion) |
Items |
2010-11 (Actuals) |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
Variation |
Col. 3 over Col. 2 |
Col. 3 over Col. 1 |
Col. 4 over Col. 3 |
Amount |
Per cent |
Amount |
Per cent |
Amount |
Per cent |
| |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
A. States' Share in Central Taxes and Duties |
2,193.03 |
2,634.58 |
2,554.14 |
3,019.21 |
-80.44 |
-3.1 |
361.11 |
16.5 |
465.07 |
18.2 |
B. Total Grants (i+ii) |
1,595.85 |
1,926.28 |
1,816.36 |
2,168.17 |
-109.92 |
-5.7 |
220.51 |
13.8 |
351.81 |
19.4 |
i) Plan |
1,097.95 |
1,263.17 |
1,263.14 |
1,526.06 |
-0.03 |
0.0 |
165.19 |
15.0 |
262.92 |
20.8 |
ii) Non-Plan |
497.90 |
663.11 |
553.22 |
642.11 |
-109.89 |
-16.6 |
55.32 |
11.1 |
88.89 |
16.1 |
C. Total Non-Plan Loans* |
0.85 |
0.85 |
0.75 |
0.85 |
-0.10 |
-11.8 |
-0.10 |
-11.8 |
0.10 |
13.3 |
D. Plan Loans (i+ii) |
102.14 |
90.20 |
100.20 |
110.00 |
10.00 |
11.1 |
-1.94 |
-1.9 |
9.80 |
9.8 |
i) Central Assistance for States & Union Territory Plans |
102.14 |
90.00 |
100.00 |
110.00 |
10.00 |
11.1 |
-2.14 |
-2.1 |
10.00 |
10.0 |
ii) Assistance for Central & Centrally Sponsored Plan Schemes |
0.00 |
0.20 |
0.20 |
0.00 |
0.00 |
– |
0.20 |
– |
-0.20 |
-100.0 |
E. Gross Transfers (A to D) |
3,891.87 |
4,651.91 |
4,471.45 |
5,298.23 |
-180.46 |
-3.9 |
579.58 |
14.9 |
826.78 |
18.5 |
F. Recovery of Loans & Advances |
82.27 |
84.16 |
83.58 |
85.29 |
-0.58 |
-0.7 |
1.31 |
1.6 |
1.71 |
2.0 |
G. Net Resources transferred to States & UT Governments (E-F) |
3,809.60 |
4,567.75 |
4,387.87 |
5,212.94 |
-179.88 |
-3.9 |
578.27 |
15.2 |
825.07 |
18.8 |
* Net of recovery of short-term loans and advances.
Source : Budget documents of Government of India, 2012-13. |
Statement 7
Interest payments by the Central Government |
(` Billion) |
Item |
1990-91 (Accounts) |
2001-2002 (Accounts) |
2002-2003 (Accounts) |
2003-2004 (Accounts) |
2004-05 (Accounts) |
2005-06 (Accounts) |
2006-07 (Accounts) |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
I. Interest Payments on Internal Debt |
98.14 |
660.35 |
751.76 |
826.20 |
863.80 |
855.33 |
1,072.94 |
of which : |
|
|
|
|
|
|
|
i) On Market Loans* |
63.66 |
550.24 |
625.59 |
687.65 |
698.52 |
665.00 |
841.46 |
ii) On Treasury Bills** |
33.92 |
64.53 |
61.51 |
35.42 |
21.65 |
39.90 |
57.40 |
iii) On Marketable securities issued in conversion of special securities |
– |
23.99 |
30.67 |
62.63 |
77.53 |
70.66 |
57.15 |
II. Interest on External debt |
18.34 |
42.85 |
42.52 |
31.39 |
28.08 |
31.73 |
38.67 |
III. Interest on Small Savings Deposits, Certificates and PPF @ |
41.28 |
224.71 |
233.79 |
205.03 |
189.50 |
180.29 |
181.06 |
IV. Interest on State Provident Funds |
8.85 |
37.94 |
39.13 |
37.33 |
44.25 |
49.50 |
50.44 |
V. Interest on Special Deposits of Non-Government Provident Funds etc. |
38.76 |
142.59 |
136.25 |
131.61 |
128.92 |
128.74 |
124.48 |
VI. Interest on Reserve Funds |
1.12 |
1.29 |
2.29 |
3.52 |
5.41 |
7.17 |
8.83 |
VII. Interest on Other Obligations |
3.25 |
5.67 |
12.14 |
14.00 |
15.92 |
13.45 |
24.51 |
VIII. Others # |
5.24 |
-40.80 |
-39.84 |
-8.20 |
-6.54 |
60.09 |
1.79 |
Total Interest Payments (I to VIII) |
214.98 |
1,074.60 |
1,178.04 |
1,240.88 |
1,269.34 |
1,326.30 |
1,502.72 |
(Contd.) |
Statement 7
Interest payments by the Central Government (Concld.) |
(` Billion) |
Item |
2007-08 (Accounts) |
2008-09 (Accounts) |
2009-10 (Accounts) |
2010-11 (Accounts) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
| |
8 |
9 |
10 |
11 |
12 |
13 |
I. Interest Payments on Internal Debt |
1,468.01 |
1,641.64 |
1,530.00 |
1,730.23 |
2,125.57 |
2,529.35 |
of which : |
|
|
|
|
|
|
i) On Market Loans* |
962.15 |
1,103.93 |
1,341.76 |
1,511.75 |
1,769.97 |
2,150.92 |
ii) On Treasury Bills** |
77.01 |
110.10 |
95.94 |
118.74 |
240.14 |
274.16 |
iii) On Marketable securities issued in conversion of special securities |
61.98 |
55.33 |
52.86 |
48.56 |
48.56 |
48.56 |
II. Interest on External debt |
39.28 |
41.95 |
36.29 |
31.56 |
36.08 |
39.47 |
III. Interest on Small Savings Deposits, Certificates and PPF @ |
173.01 |
170.58 |
168.97 |
181.59 |
180.15 |
188.72 |
IV. Interest on State Provident Funds |
51.90 |
57.76 |
66.49 |
71.27 |
83.62 |
98.15 |
V. Interest on Special Deposits of Non-Government Provident Funds etc. |
122.35 |
110.93 |
95.44 |
92.35 |
91.80 |
93.47 |
VI. Interest on Reserve Funds |
12.25 |
12.25 |
6.14 |
1.08 |
0.95 |
2.69 |
VII. Interest on Other Obligations |
57.50 |
88.46 |
151.64 |
156.60 |
157.59 |
157.59 |
VIII. Others # |
-214.00 |
-201.53 |
75.96 |
75.54 |
80.42 |
88.15 |
Total Interest Payments (I to VIII) |
1,710.30 |
1,922.04 |
2,130.93 |
2,340.22 |
2,756.18 |
3,197.59 |
* Represents dated securities.
** Also includes special securities issued to RBI in conversion of Treasury Bills.
@ Since 1999-2000, these payments form part of internal debt.
# Includes inter alia, interest on insurance and pension funds, bonus on field deposits and interest on other deposits and accounts.
Note : 1. The data are taken from Finance Accounts and Expenditure Budget volume 2 and the aggregate figures for interest payments may not tally
for some years with the data produced elsewhere.
2. Since 1999-2000, interest on small savings represents interest on Central Government Special securities issued to the NSSF.
Source : Budget documents of the Government of India. |
Statement 8
Outstanding Liabilities of Central Government |
(` Billion) |
Year (End March) |
Internal Debt |
Of which: Market Loans |
Small Savings, & Provident Funds |
Other Accounts + |
Reserve Fund and Deposits ++ |
Total Domestic Liabilities (1+3+4+5) |
External Liabilities* |
Total Liabilities (6+7) |
| |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
1990-91 |
1,540.04 |
705.20 |
617.71 |
453.36 |
219.22 |
2,830.33 |
315.25 |
3,145.58 |
|
(27.0) |
(12.4) |
(10.8) |
(8.0) |
(3.8) |
(49.7) |
(5.5) |
(55.2) |
1991-92 |
1,727.50 |
780.23 |
696.82 |
518.18 |
234.64 |
3,177.14 |
369.48 |
3,546.62 |
|
(26.4) |
(11.9) |
(10.6) |
(7.9) |
(3.6) |
(48.5) |
(5.6) |
(54.2) |
1992-93 |
1,991.00 |
816.93 |
770.05 |
597.97 |
237.53 |
3,596.55 |
422.69 |
4,019.24 |
|
(26.5) |
(10.9) |
(10.2) |
(7.9) |
(3.2) |
(47.8) |
(5.6) |
(53.4) |
1993-94 |
2,457.12 |
1,106.11 |
878.77 |
724.77 |
245.56 |
4,306.22 |
473.45 |
4,779.67 |
|
(28.4) |
(12.8) |
(10.1) |
(8.4) |
(2.8) |
(49.7) |
(5.5) |
(55.2) |
1994-95 |
2,664.67 |
1,309.08 |
1,064.35 |
857.87 |
289.93 |
4,876.82 |
509.29 |
5,386.11 |
|
(26.2) |
(12.9) |
(10.5) |
(8.4) |
(2.9) |
(48.0) |
(5.0) |
(53.0) |
1995-96 |
3,078.69 |
1,639.86 |
1,214.25 |
920.10 |
336.80 |
5,549.84 |
512.49 |
6,062.33 |
|
(25.8) |
(13.8) |
(10.2) |
(7.7) |
(2.8) |
(46.6) |
(4.3) |
(50.9) |
1996-97 |
3,444.76 |
1,841.00 |
1,389.55 |
1,000.88 |
379.19 |
6,214.37 |
542.39 |
6,756.76 |
|
(25.0) |
(13.4) |
(10.1) |
(7.3) |
(2.8) |
(45.1) |
(3.9) |
(49.0) |
1997-98 |
3,889.98 |
2,165.98 |
1,677.80 |
1,240.87 |
420.97 |
7,229.62 |
553.32 |
7,782.94 |
|
(25.5) |
(14.2) |
(11.0) |
(8.1) |
(2.8) |
(47.3) |
(3.6) |
(51.0) |
1998-99 |
4,596.96 |
2,855.85 |
2,064.58 |
1,268.02 |
415.95 |
8,345.52 |
572.54 |
8,918.06 |
|
(26.3) |
(16.3) |
(11.8) |
(7.2) |
(2.4) |
(47.7) |
(3.3) |
(50.9) |
1999-2000 |
7,142.54 # |
3,558.62 |
664.06 |
1,344.25 |
475.08 |
9,625.92 |
584.37 |
10,210.29 |
|
(36.6) |
(18.2) |
(3.4) |
(6.9) |
(2.4) |
(49.3) |
(3.0) |
(52.3) |
2000-01 |
8,036.98 |
4,287.93 |
963.44 |
1,440.20 |
585.35 |
11,025.97 |
659.45 |
11,685.42 |
|
(38.2) |
(20.4) |
(4.6) |
(6.9) |
(2.8) |
(52.4) |
(3.1) |
(55.6) |
2001-02 |
9,130.61 |
5,165.17 |
1,445.11 |
1,641.57 |
731.33 |
12,948.62 |
715.46 |
13,664.08 |
|
(40.1) |
(22.7) |
(6.3) |
(7.2) |
(3.2) |
(56.8) |
(3.1) |
(60.0) |
2002-03 |
10,206.89 |
6,191.05 |
2,264.00 |
1,723.74 |
801.26 |
14,995.89 |
596.12 |
15,592.01 |
|
(41.6) |
(25.2) |
(9.2) |
(7.0) |
(3.3) |
(61.1) |
(2.4) |
(63.5) |
2003-04 |
11,417.06 |
7,079.65 |
2,883.78 |
1,680.94 |
923.76 |
16,905.54 |
461.24 |
17,366.78 |
|
(41.4) |
(25.7) |
(10.5) |
(6.1) |
(3.4) |
(61.4) |
(1.7) |
(63.0) |
2004-05 |
12,759.71 & |
7,589.95 |
3,904.77 |
1,741.07 |
929.89 |
19,335.44 |
608.78 |
19,944.22 |
|
(39.4) |
(23.4) |
(12.0) |
(5.4) |
(2.9) |
(59.6) |
(1.9) |
(61.5) |
2005-06 |
13,897.58 & |
8,623.70 |
4,797.61 |
1,869.21 |
1,094.62 |
21,659.02 |
942.43 |
22,601.45 |
|
(37.6) |
(23.3) |
(13.0) |
(5.1) |
(3.0) |
(58.6) |
(2.6) |
(61.2) |
2006-07 |
15,449.75 & |
9,728.01 |
5,394.50 |
2,201.60 |
1,312.95 |
24,358.80 |
1,027.16 |
25,385.96 |
|
(36.0) |
(22.7) |
(12.6) |
(5.1) |
(3.1) |
(56.7) |
(2.4) |
(59.1) |
2007-08 |
17,996.51 & |
11,045.64 |
5,536.20 |
2,450.81 |
1,270.43 |
27,253.95 |
1,120.31 |
28,374.26 |
|
(36.1) |
(22.1) |
(11.1) |
(4.9) |
(2.5) |
(54.6) |
(2.2) |
(56.9) |
2008-09 |
20,198.41 & |
13,381.94 |
5,535.18 |
3,340.91 |
1,286.82 |
30,361.32 |
1,230.46 |
31,591.78 |
|
(35.9) |
(23.8) |
(9.8) |
(5.9) |
(2.3) |
(53.9) |
(2.2) |
(56.1) |
2009-10 |
23,283.39 & |
17,466.19 |
6,206.27 |
3,274.57 |
1,194.53 |
33,958.77 |
1,340.83 |
35,299.60 |
|
(36.1) |
(27.0) |
(9.6) |
(5.1) |
(1.8) |
(52.6) |
(2.1) |
(54.7) |
2010-11 |
26,671.15 & |
20,720.33 |
6,805.61 |
3,046.97 |
1,287.62 |
37,811.35 |
1,576.39 |
39,387.74 |
|
(34.8) |
(27.0) |
(8.9) |
(4.0) |
(1.7) |
(49.3) |
(2.1) |
(51.3) |
2011-12 (RE) |
32,024.11 & |
25,084.47 |
6,845.61 |
2,861.64 |
1,276.28 |
43,007.64 |
1,679.50 |
44,687.14 |
|
(35.9) |
(28.1) |
(7.7) |
(3.2) |
(1.4) |
(48.3) |
(1.9) |
(50.1) |
2012-13 (BE) |
37,436.58 & |
29,874.47 |
6,965.61 |
2,719.71 |
1,350.84 |
48,472.74 |
1,780.98 |
50,253.72 |
|
(36.8) |
(29.4) |
(6.9) |
(2.7) |
(1.3) |
(47.7) |
(1.8) |
(49.5) |
RE: Revised Estimates BE: Budget Estimates
+ Include mainly Postal Insurance and Life Annuity Fund, borrowings under Compulsory Deposits and Income-Tax Annuity Deposits, Special
Deposits of non-Government Provident Funds.
++ Include Depreciation Reserve Fund of Railways, Dept. of Posts and Dept. of Telecommunications, Deposits of Local Funds, Departmental and
Judicial Deposits, Civil Deposits, etc.
* At historical exchange-rate.
# The sharp increase in internal debt and corresponding decline in small savings and provident funds in 1999-2000 is due to conversion of other
liabilities(small savings, deposits and public provident funds) amounting to `1,802.73 billion into Central Government securities. Since 1999-2000,
Small Savings represent liabilities under National Small Savings fund (NSSF) excluding NSSF investment in the Central Government's Special
Securities.
& Include amount raised under Market Stabilisation Scheme.
Note: Figures in parentheses are percentages to GDP.
Source: Budget Documents of the Government of India. |
Statement 9
Key Fiscal Indicators |
(` Billion) |
Items |
2002-03 (Accounts) |
2003-04 (Accounts) |
2004-05 (Accounts) |
2005-06 (Accounts) |
2006-07 (Accounts) |
2007-08 (Accounts) |
| |
1 |
2 |
3 |
4 |
5 |
6 |
1 Gross Fiscal Deficit |
1,450.72 |
1,232.73 |
1,257.94 |
1,464.35 |
1,425.73 |
1,269.12 |
|
(5.9) |
(4.5) |
(3.9) |
(4.0) |
(3.3) |
(2.5) |
2 Revenue Deficit |
1,078.79 |
982.61 |
783.38 |
923.00 |
802.22 |
525.69 |
|
(4.4) |
(3.6) |
(2.4) |
(2.5) |
(1.9) |
(1.1) |
3 Net RBI Credit to Centre |
-283.99 |
-760.65 |
-601.77 |
51.60 |
-41.76 |
-1,156.32 |
|
-(1.2) |
-(2.8) |
-(1.9) |
(0.1) |
-(0.1) |
-(2.3) |
4 Gross Primary Deficit |
272.68 |
-8.15 |
-11.40 |
138.05 |
-76.99 |
-441.18 |
|
(1.1) |
(0.0) |
(0.0) |
(0.4) |
-(0.2) |
-(0.9) |
5 Subsidies |
435.33 |
443.23 |
459.57 |
475.22 |
571.25 |
709.26 |
of which : |
(1.8) |
(1.6) |
(1.4) |
(1.3) |
(1.3) |
(1.4) |
i) Food |
241.76 |
251.81 |
257.98 |
230.77 |
240.14 |
313.28 |
|
(1.0) |
(0.9) |
(0.8) |
(0.6) |
(0.6) |
(0.6) |
ii) Fertiliser |
110.15 |
118.47 |
158.79 |
184.60 |
262.22 |
324.90 |
|
(0.4) |
(0.4) |
(0.5) |
(0.5) |
(0.6) |
(0.7) |
iii) Petroleum |
52.25 |
63.51 |
29.56 |
26.83 |
26.99 |
28.20 |
|
(0.2) |
(0.2) |
(0.1) |
(0.1) |
(0.1) |
(0.1) |
6 Defence Expenditure |
556.62 |
600.66 |
758.56 |
805.49 |
855.10 |
916.81 |
|
(2.3) |
(2.2) |
(2.3) |
(2.2) |
(2.0) |
(1.8) |
7 Interest Payments |
1,178.04 |
1,240.88 |
1,269.34 |
1,326.30 |
1,502.72 |
1,710.30 |
|
(4.8) |
(4.5) |
(3.9) |
(3.6) |
(3.5) |
(3.4) |
8 Total Non-Plan Expenditure |
3,017.78 |
3,489.23 |
3,659.60 |
3,651.00 |
4,135.27 |
5,075.89 |
|
(12.3) |
(12.7) |
(11.3) |
(9.9) |
(9.6) |
(10.2) |
9 Budgetary Support to Public Enterprises * |
152.32 |
159.82 |
170.05 |
173.62 |
206.35 |
196.36 |
|
(0.6) |
(0.6) |
(0.5) |
(0.5) |
(0.5) |
(0.4) |
10 Interest Receipts |
376.22 |
385.38 |
323.87 |
220.32 |
225.24 |
210.60 |
|
(1.5) |
(1.4) |
(1.0) |
(0.6) |
(0.5) |
(0.4) |
11 Interest Payments as per cent of revenue receipts |
51.0 |
47.0 |
41.5 |
38.2 |
34.6 |
31.6 |
12 Revenue Deficit as per cent of Gross Fiscal Deficit |
74.4 |
79.7 |
62.3 |
63.0 |
56.3 |
41.4 |
13 Net RBI Credit to Centre as per cent of Gross Fiscal Deficit |
-19.6 |
-61.7 |
-47.8 |
3.5 |
-2.9 |
-91.1 |
(Contd.) |
Statement 9
Key Fiscal Indicators (Concld.) |
(` Billion) |
Items |
2008-09 (Accounts) |
2009-10 (Accounts) |
2010-11 (Accounts) |
2011-12 (Budget Estimates) |
2011-12 (Revised Estimates) |
2012-13 (Budget Estimates) |
| |
7 |
8 |
9 |
10 |
11 |
12 |
1 Gross Fiscal Deficit |
3,369.92 |
4,184.82 |
3,735.91 |
4,128.17 |
5,219.80 |
5,135.90 |
|
(6.0) |
(6.5) |
(4.9) |
(4.6) |
(5.9) |
(5.1) |
2 Revenue Deficit |
2,535.39 |
3,389.98 |
2,522.52 |
3,072.70 |
3,949.51 |
3,504.24 |
|
(4.5) |
(5.2) |
(3.3) |
(3.4) |
(4.4) |
(3.4) |
3 Net RBI Credit to Centre |
1,747.89 |
1,500.06 |
1,849.69 |
.. |
.. |
.. |
|
(3.1) |
(2.3) |
(2.4) |
|
|
|
4 Gross Primary Deficit |
1,447.88 |
2,053.89 |
1,395.69 |
1,448.31 |
2,463.62 |
1,938.31 |
|
(2.6) |
(3.2) |
(1.8) |
(1.6) |
(2.8) |
(1.9) |
5 Subsidies |
1,297.08 |
1,413.51 |
1,734.20 |
1,435.70 |
2,162.97 |
1,900.15 |
of which : |
(2.3) |
(2.2) |
(2.3) |
(1.6) |
(2.4) |
(1.9) |
i) Food |
437.51 |
584.43 |
638.44 |
605.73 |
728.23 |
750.00 |
|
(0.8) |
(0.9) |
(0.8) |
(0.7) |
(0.8) |
(0.7) |
ii) Fertiliser |
766.03 |
612.64 |
623.01 |
499.98 |
671.99 |
609.74 |
|
(1.4) |
(0.9) |
(0.8) |
(0.6) |
(0.8) |
(0.6) |
iii) Petroleum |
28.52 |
149.51 |
383.71 |
236.40 |
684.81 |
435.80 |
|
(0.1) |
(0.2) |
(0.5) |
(0.3) |
(0.8) |
(0.4) |
6 Defence Expenditure |
1,142.23 |
1,417.81 |
1,541.17 |
1,644.15 |
1,709.37 |
1,934.07 |
|
(2.0) |
(2.2) |
(2.0) |
(1.8) |
(1.9) |
(1.9) |
7 Interest Payments |
1,922.04 |
2,130.93 |
2,340.22 |
2,679.86 |
2,756.18 |
3,197.59 |
|
(3.4) |
(3.3) |
(3.0) |
(3.0) |
(3.1) |
(3.1) |
8 Total Non-Plan Expenditure |
6,087.21 |
7,210.96 |
8,182.99 |
8,161.82 |
8,921.16 |
9,699.00 |
|
(10.8) |
(11.2) |
(10.7) |
(9.2) |
(10.0) |
(9.5) |
9 Budgetary Support to Public Enterprises * |
235.53 |
323.20 |
450.66 |
479.25 |
571.51 |
641.92 |
|
(0.4) |
(0.5) |
(0.6) |
(0.5) |
(0.6) |
(0.6) |
10 Interest Receipts |
207.17 |
217.84 |
197.34 |
195.78 |
201.25 |
192.31 |
|
(0.4) |
(0.3) |
(0.3) |
(0.2) |
(0.2) |
(0.2) |
11 Interest Payments as per cent of revenue receipts |
35.6 |
37.2 |
29.7 |
33.9 |
35.9 |
34.2 |
12 Revenue Deficit as per cent of Gross Fiscal Deficit |
75.2 |
81.0 |
67.5 |
74.4 |
75.7 |
68.2 |
13 Net RBI Credit to Centre as per cent of Gross Fiscal Deficit |
51.9 |
35.8 |
49.5 |
.. |
.. |
.. |
.. Not available / applicable.
* Figures relate to revised estimates for years prior to 2008-09.
Note: Figures in parentheses are per cent to GDP.
Source: Budget documents of the Government of India. |
|