Data Sources
This report is based on the receipts and
expenditure data presented in the budget
documents of 28 State governments. Data in
respect of two Union Territories (UTs) with
legislature, viz., National Capital Territory of Delhi
(NCT Delhi) and Puducherry are provided
separately as memo item in all statements. The
analysis conforms to the data presented in State
budgets and the accounting classification thereof.
The detailed Appendices are based on the
classification of receipts and expenditure of
individual States/UTs into revenue and capital
accounts. Revenue expenditure and capital
expenditure are further bifurcated into ‘Plan’ and
‘Non-Plan’. Some supplementary information
regarding institutional reforms, level of
guarantees (contingent liabilities), expenditure on
‘wages and salaries’ and ‘operations and
maintenance’ are obtained from the State
Governments. Information received from the
Planning Commission relating to State-wise plan
outlays are also incorporated in the report. Data
on the outstanding State-wise loans under the
National Small Savings Fund have been obtained
from the Ministry of Finance, Government of
India. The outstanding State-wise Central loans
have been sourced from the Union Finance
Accounts. Besides, several items of data
including availment of Ways and Means
Advances (WMA)/ Overdraft (OD), market
borrowings, investment of State governments in
Central government Treasury Bills and the data
on the State Development Loans (SDLs) have
been taken from the Reserve Bank records.
The data provided in Appendix III (capital
receipts) and Appendix IV (capital expenditure)
are on a gross basis for all items, including public
accounts. The capital receipts provided in
Appendix tables (consolidated) and statements
(State-wise) and used in the analysis include public accounts on a net basis while public
accounts are excluded from the respective capital
expenditure. The ‘All States’ totals and national
averages pertain to 28 State Governments,
excluding NCT Delhi and Puducherry. The data
for Gross State Domestic Product (GSDP) for
each State have been sourced from the Central
Statistics Office (CSO). This is supplemented by
information received from the respective State
governments and GSDP estimates used in the
budget documents of the State governments.
Wherever GSDP data are not available, the data
are estimated based on the previous three years’
annual average growth rate. Data on GDP are at
current market prices obtained from CSO. The
ratios to GSDP/GDP are worked out based on
latest available GSDP/GDP estimates.
Percentage variation worked out in Appendix
tables and statements may differ due to roundingoff
of figures.
Methodology
The analysis of the expenditure data is
disaggregated into development and nondevelopment
expenditure. All expenditure relating
to revenue account, capital outlay and Loans and
Advances are categorised into social services,
economic services and general services. While
social and economic services constitute
development expenditure, expenditure on
general services is treated as non-development
expenditure. Thus, the development expenditure
includes the development components of
revenue expenditure, capital outlay and loans and
advances by the State governments. The social
sector expenditure includes expenditure on social
services, rural development, and food storage
and warehousing under revenue expenditure,
capital outlay and loans and advances by the
State governments. Capital outlay includes both
development and non-development capital
outlay. The ‘overall deficit/surplus’ (conventional deficit/surplus) used in the analysis is equal to the
sum of cash deficit/surplus (difference between
the closing balance and opening balance),
increase/decrease in cash balance investment
account and the increase/decrease in WMAs
extended by the Reserve Bank.
Methodology for Debt Statistics
The Reserve Bank in its report of 2005-06
budgets had compiled a data series on
outstanding liabilities of State governments since
1990-91. In the 2006-07 report, a revised series of
outstanding liabilities was published by including
data on reserve funds, deposits and advances
and contingency funds of State governments. In
the 2007-08 report, a revised data series on
outstanding liabilities of State governments was
published from 2003-04 onwards based on the
Combined Finance and Revenue Accounts of
Union and State governments, Reserve Bank
records, data received from the Ministry of
Finance (Government of India), Union Finance
Accounts (Controller General of Accounts) and
the budget documents of the State Governments.
The present report follows the same methodology
for compilation of outstanding liabilities as given in
2007-08 Study and uses the same data sources.
The data provided in Appendix tables 19 and 20
and Statements 26 to 28 on debt position of
States are provisional. The outstanding liabilities
for the State governments as at end-March 2010
are directly taken from Comptroller and Auditor
General (CAG) of India’s ‘Combined Finance and
Revenue Accounts of the Union and State
governments in India’ (except for column nos. 2 to
5 and 15 in Statement 26 and Appendix Table 19).
The outstanding liabilities position for end-March
2011 and end-March 2012 have been derived on
the basis of adding annual flows [2010-11(RE)
and 2011-12(BE)], to the outstanding amounts for
end-March 2010 and end-March 2011,
respectively, in conformity with recommended
methodology of ‘Report of the Working Group on
Compilation of State Government Liabilities’,
2005. Based on the State-wise market loans
(Statement 32), the maturity profile of outstanding
State Government securities is provided in
Statements 34 and 35. These Statements also
incorporate the appropriation of liabilities of the
three bifurcated States (Bihar, Madhya Pradesh
and Uttar Pradesh) to their respective newly
formed States (Jharkhand, Chhattisgarh and
Uttarakhand) on the basis of Government of India
notifications.
Note : State-wise data on major fiscal indicators for the period 1980-81 to 2009-10 (BE) and State-wise
detailed data on the transactions in the revenue and capital account for the period 1990-91 to
2009-10 (BE) were presented in “Handbook of Statistics on State Government Finances”
published by the Reserve Bank in July 2010. This Handbook, containing data on 28 States and two
UTs, was released in three versions, viz., printed, CD and web-based (www.rbi.org.in) version.
While the printed version covers data on major fiscal indicators for the period 1990-91 to 2009-10
(BE) and State-wise detailed data on the transactions in the revenue and capital accounts for the
period 2002-03 to 2009-10 (BE), the CD and web-based version is more comprehensive than
printed version covering data from 1980-81 onwards on major fiscal indicators and State-wise
detailed data on the transactions in the revenue and capital account from 1990-91 onwards. CD
version also incorporates intelligent search features. The issues of publication ‘State Finances: A
Study of Budgets’ published since 2001-02 are available on the Reserve Bank’s website. The
Reserve Bank of India also released ‘Compendium CD of Articles on State Finances from 1950-51
to 2010-11’ in July 2011. This Compendium CD provides access to all the articles published during
the period 1950-51 to 2010-11 at one place. |