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. Additionally, total capital receipts
taking public accounts on a net basis are also
given in Appendix III to have comparable data
with those of the previous years. Total capital
expenditure given in Appendix IV is exclusive of 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 (Base year:
2004-05) as published by 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 rounding-off of
figures.
Methodology
The analysis of the expenditure data
is disaggregated into development and non-development
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. 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 (Comptroller and Auditor General
of India), 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 Report
and uses the same data sources.
The outstanding liabilities for the state
governments as at end-March 2011 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
2012 and end-March 2013 have been derived
by adding annual flows [2011-12(RE) and 2012-
13(BE)], to the outstanding amounts for end-
March 2011 and end-March 2012, 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 account 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
since 1950-51 to 2010-11 at one place. |