Tuesday 02 March 2021

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Economy | Budget

Parsekar presents deficit budget, with a higher plan size


Chief Minister Laxmikant Parsekar today presented his maiden budget with a fiscal deficit of Rs 1552 crore, while managing to mobilise additional resources of Rs 235 crore through tax and non-tax revenue.

After presenting the budget for two and a half hours, Parsekar told the media that the fiscal deficit is estimated at Rs 1552 crore, around 2.99 per cent, which is within FRBM Act of 3 per cent.

The fiscal deficit, during the tenure of former chief minister of Manohar Parrikar, was 3.19 per cent, little more than the requirement under FRBM Act.

On revenue side, however, the budget shows a surplus of Rs 408.18 crore.

He terms it as “an unprecedented revenue surplus, which is historic for the state finances.”

He has presented a budget – a 71-page speech - of RS 13,331.44 crore, much higher than his predecessor Parrikar had presented last year – Rs 10,540.54 crore, an increase of 26.48 per cent.


The plan size of the budget is also higher by 41.05 per cent.

Compared to Parrikar’s plan size of Rs 4389.25 crore, Parsekar’s plan size is Rs 6190.97 crore, an increase of Rs 1801.72 crore.

Parsekar however seemed to be comfortable due to an additional state share of Rs 1054 crore from the centre, which is around 10 per cent more.

“I am thankful to Prime Minister Narendra Modi, who started a new era of co-operative federalism due to which our share in the divisible pool increased from 0.266 to 0.378 percentage points”, said Parsekar.

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Parsekar started with Konkani and then shifted to Marathi!

Is this budget was for Maharastrians?

Mathew Dias , Goa