Bangladesh National Budget 2010-2011

Taka 132,170 crore budget for 2010-2011 fiscal year.


Announced by:Finance Minister Abul Maal Abdul Muhith


MR. SPEAKER SIR,


1. With your permission, I rise to present the Budget Estimates for the year 2010-11.


2. The Budget and the Vote-on-Account represent the earnest efforts ofthe Government to catalyse the economy of the State onto a higher pathof growth, meet the aspirations of the people, strengthen developmentaland regulatory structures and deliver adequate services to the people.National Economy


3. In mid-2007, a liquidity crisis in the banking system of pivotal developedcountries plunged the global economy into a crisis. It led to the collapseof large financial institutions and a downturn in stock markets. Theresulting uncertainty and the crisis of confidence contributed to fearsof a recession, and economic instability.


4. Inevitably, there was an impact on the Indian economy, which facedthe prospect of a deceleration of growth. Three years on, we in Indiahave cause to look back with some satisfaction at having come throughthe crisis successfully. We can look forward to the resumption of a highgrowth path that will make the country economically strong, and bringprosperity to the people. GDP growth for 2009-10, according to thelatest estimation, is expected to be around 7.2%. This is heartening andindicative of the resilience of the economy. This is being achieveddespite the vagaries of the monsoon in this year which registeredinconsistency over large tracts, and was deficient over a large area.State Economy


5. The impact of these events in Meghalaya was less than originallyapprehended. This is so because of relative insularity, the dominantrole of Governmental spending, comparatively lower dependence onand reach of the banking system and the lesser weight and contributionof the organised manufacturing sector. Despite an inconsistent monsoon,agricultural production and productivity were maintained and the miningsector registered increases in output. A concern that remains, however,in this volatile environment, is of inflation and its impact on the commonman.


6. The Gross State Domestic Product at current prices increased fromRs 8,472 crore in 2007-08 to Rs 9,611 crore in 2008-09 and to anestimated Rs 10,922 crore in 2009-10, indicating increases of 15%,13 % and 13.6% respectively. In the same period, per capita annualincome increased from Rs 33,644 to Rs 37,718 and to Rs 42,365according to the revised estimates for 2009-10, an increase of 14%,12% and 12.3% respectively. In this period, there has been a marginalreorientation of the composition of GSDP. The contribution of the primarysector decreased from 19.63% to 19.40%. The weight of the servicesector also decreased, from 49.33% to 47.52%. On the other hand, theshare of industry increased from 31.04% to 33.08%. I expect these trendsto continue in 2010-11.State Finances


7. Sir, management of the finances of the State is not an easy task. Overfour-fifths of the Non Plan Revenue Receipts are of necessity markedfor meeting commitments for salary, pensions and interest payments.There is a growing reluctance on the part of the Government of India tomeet the non-plan gap through additional transfers. There is an inevitableshortfall, and an inability to provide a surplus for developmentalexpenditure. As a consequence, the State must make use of its scarceresources carefully, and mobilise additional tax and non-tax revenuesof its own.Fiscal Consolidation


8. In April 2006, the Government enacted the Meghalaya FiscalResponsibility and Budget Management (FRBM) Act. This was intendedto address issues of fiscal management and prudence, and mandatetransparency and sound fiscal management. The FRBM sets targets forimportant fiscal indicators, including fiscal deficit and liabilities underthe Consolidated Fund. In keeping with the targets spelt out in the Act,the State has implemented fiscal measures to increase revenue andcompress expenditure.


9. On the revenue side, VAT has been implemented, computerization ofthe tax system initiated, and steps taken to enlarge the tax base. Stampand Registration fees are being rationalized, and steps taken toestablish an objective system of grading of coal. User charges for public,social and economic services, enhancement of royalty and tax rates,and imposition of cess and surcharges are some other measures. Onthe expenditure front, budgetary cuts on non-essential expenditure have2had to be resorted to. Steps to provide VRS for PSU employees and towind up of loss making PSUs have been initiated.


10. Sir, the Government made a promising start with the FRBM. In 2006-07the State achieved a revenue surplus of Rs 234.69 crore. The fiscaldeficit was brought down to Rs 74.53 crore or 1.02% of GSDP in 2006-07 from Rs 178.98 crore or 2.78% of GSDP in 2005-06. As a result ofthe improvement, especially on the revenue account, the State was ableto avail loan write-off of Rs 14.90 crore from the Government of India.


11. The fiscal performance of the State in the two subsequent years wasless promising. The revenue surplus during 2007-08 and 2008-09deteriorated to Rs 187.71 crore and Rs 127.87 crore respectively. Thefiscal deficit rose from Rs 74.53 crore in 2006-07 to Rs 214.19 crore in2007-08 and Rs 435.09 crore in 2008-09 or 2.53% and 4.53 % of GSDPrespectively. The lowered performance in 2007-2008 is largelyattributable to the increasing expenditure in the social sectors,particularly in the education and health sectors, and to budgetarysupport to the Power Department. The contributory factors in 2008-09included interest payments, administrative costs, pension relatedexpenses and salaries.Fourth Meghalaya Pay Commission


12. Sir, the budget of 2009-10 was prepared against the backdrop of anunfavourable financial scenario arising out of the commitment toimplement the recommendations of the Meghalaya Fourth PayCommission. There was a consequent imbalance of Rs 671.59 crorebetween non-plan receipts and expenditure. The additional financialimplications on account of the revised pay inclusive of arrears undersalary and pension are estimated at Rs 511 crore.


13. We have been able to meet the expectations of the State Governmentemployees by revising salaries. I would submit that the Governmenthas been liberal in responding to the demands of the employees, itsfinancial constraints and compulsions notwithstanding. Although thePay Commission recommended that the new pay scales be effectivefrom January 2008, the Government took a decision to make themoperative from 1st January 2007, providing additional financial benefitsto the employees. Pension and retirement benefits have been revisedas recommended by the Pay Commission. A new pension scheme, similarto the Contributory Pension Scheme of the Central Government, isproposed to be implemented for new employees. Government has3introduced an Assured Career Progression Scheme for State Governmentemployees who face stagnation or lack of promotional avenues. As aresult, all Government employees are assured of at least two promotionsin the form of financial up-gradation during their career.


14. The substantial non-plan gap and the impact of pay revision couldhave seriously and adversely impacted on the State Plan 2009-10. Thepersistent efforts of the State Government to secure accommodationfrom the Government of India were fortunately successful. The CentralGovernment agreed to advance the State a soft loan of Rs 545 crore, tobe recovered in five equal annual installments from future entitlements,to help bridge the sizeable negative BCR.


15. Sir, we have been able to manage the finances of the State in the currentfiscal year. In subsequent years, however, we will have to contend withthe spill-over, and the impact of future loan recoveries. I expect, Sir thatthe favourable dispensation of the 13th Finance Commission, theencouraging recovery of the national economy, and our own effortswill be mitigatory factors. In a larger time frame, a sustained improvementin revenue will help curtail the fiscal deficit and improve the debtposition. We cannot however afford to be complacent. Fiscal prudencemust be continued. A set of statutory documents including a Statementon Fiscal Indicators, the Medium Term Fiscal Policy and the position ofoutstanding debt on the Consolidated Fund, as required under theFRBM Act 2006, have been separately printed and circulated to theMembers of the House.Debt Consolidation


16. In accordance with the provisions of the FRBM Act 2006, the State isrequired to bring down its Debt-GSDP ratio to 28% of the GSDP.Significantly, and partly due to the Debt Swap Scheme and the loanwaiver provided by the Central Government, the outstanding loans ofthe State Government on the Consolidated Fund against GSDP havebeen decreasing. The Debt-GSDP ratio decreased from 31% in 2006-07 to 28% in 2008-09. For 2009-10, the Debt-GSDP ratio is estimatedat 29%. The State is required to meet a new Debt-GSDP ratio target of25% set by the 13th Finance Commission in the next few years.Consolidated Sinking Fund


17. The dependence of the State on market borrowings has been increasing.As a measure of prudence, the Government has constituted an4amortization fund in the form of a Consolidated Sinking Fund (CSF) tomeet the sudden eventualities of debt. An amount equivalent to 0.05%of the annual outstanding debt of the State is contributed by theGovernment to the Fund. Rs 13.52 crore was contributed to the Fund in2008-09. This was increased to Rs 14.09 crore in 2009-10. The corpusunder the CSF as on date is Rs 106.42 crore. I propose to provideRs 15.63 crore towards this Fund in 2010-11.Calamity Relief Fund


18. The Calamity Relief Fund (CRF) is utilised to provide immediate reliefto the victims of, inter-alia, cyclone, drought, earthquake, fire and flood.The funding under CRF is shared between the Central and StateGovernments in a 75:25 ratio. The 13th Finance Commission hasrecommended that the CRF be merged with the State Disaster ResponseFund in a funding ratio of 90:10 between the Centre and the State, forSpecial Category States. The fund available under the State CRF iscurrently Rs.78.51 crore.Guarantee Redemption Fund


19. In the past, the State Government has stood, not always discriminatingly,as a guarantor to loans raised by PSUs. To avoid the risk of default, theState Government has, in line with the condition set out in the FRBMAct 2006, decided to limit guarantees to selected and prioritisedschemes. The establishment of a Guarantee Redemption Fund is underthe active consideration of the Government.Banking Sector


20. Sir, I am conscious of the unfavourable Credit-Deposit ratio, and theneed to ensure that the banks come forward to support the developmentof the State. The outreach of the banks needs to extend to all parts ofthe State. The State Government and Reserve Bank of India have agreedthat bank branches will be opened in the identified unbanked blocksof Saipung and Gambegere. Currency chests will be established atAmpati, Resubelpara and Baghmara. The State Government will providepremises and security arrangements. The positive steps taken by theState have been appreciated by the Governor, RBI who has publiclystated that “Meghalaya has been the first off the block willing to makeavailable premises and put in place appropriate security arrangements.RBI will fund the capital cost and running costs of the banks for fiveyears”.5Financial Inclusion


21. Financial inclusion is the process of ensuring access to financial servicesand timely credit to the weaker sections of the society, especially thoseresiding in remote areas. The banks have been requested by RBI toopen at least one bank account for each family. Initially, four districtshave been identified for 100% financial inclusion- East Khasi Hills,Jaintia Hills, Ri-Bhoi and West Garo Hills districts. The respective DeputyCommissioners have been advised to extend full cooperation to assistthe banks in a village household survey to be conducted through theBDOs.


22. To facilitate the enhancement of the flow of credit to marginal farmers,especially BPL families, the Government proposes to introduce a schemeto provide seed capital to beneficiaries to raise loans and take upincome generating activities. Convergence will be sought with otherdevelopmental schemes. An amount of Rs. 5,000 is proposed to beprovided to a family as seed money for opening bank accounts. In theinitial stage, 6000 families are proposed to be covered, with an outlayof Rs. 3 crore.


23. The Mahatma Gandhi National Rural Employment Guarantee Scheme isone of the most significant initiatives of the Government of India. Toenable speedy payment of wages in a transparent and time-boundmanner, and to reduce intermediate layers and leakages in the chain oftransactions, the Government, initially on a pilot basis, has decided tomake payments to beneficiaries under the scheme through bank accountsand electronic transfers. On their part, the banks will engage businesscorrespondents and business facilitators equipped with hand-heldelectronic devices to disburse wages at the doorstep of beneficiaries.The State Government will bear the 2% transaction fee which forms partof this scheme. Meghalaya is the first State in the North East to embarkon this system of wage disbursal.Credit-Deposit Ratio


24. Of singular concern is the fact that the Credit-Deposit ratio has slippedfrom 41.96% in December 2008 to 36.26 % in December 2009, taking iteven further away from the national average of 60%. We have advisedthe banks to take recourse to the Meghalaya Credit Operations andMiscellaneous Provisions Act, 1976 to facilitate recovery of loans andto enable the banks to advance fresh loans for agricultural purposes.We are examining the feasibility of adoption of a system of issue of6Land Possession Certificates (LPC) to farmers to assist the process ofobtaining agricultural loans of above Rs 5 lakh. Stamp duty has beenwaived in respect of loans availed of by Self-Help Groups and foragricultural loans above Rs 50,000. In 2007-08, 94.15% of the AnnualCredit Plan (ACP) was achieved. This went down to 82.23% in 2008-09.Banks have been advised to ensure that 100% achievement under ACPis realized by March 2010, and to increase their ACP targets in thecoming financial year.Financial Sector Reforms


25. Sir, in the current year we have taken up a programme of financial andprocess reform. Henceforth all Government payments including salaries,pensions, and bills of contractors and suppliers will be paid throughcheques or account transfers. Cash payments by disbursing officerswill thus be done away with.


26. The Automated Pension System has been successfully operationalisedin Shillong and Jowai treasuries and shall be extended to all otherdistricts in the next year. Under this system, pension will be directlytransferred to the bank accounts of pensioners, who will not then needto make monthly visits to the treasuries. Priority will be given tocompletion of database of pensioners by the end of the calendar year2010. This will provide accurate information on pensioners and relatedfinancial information thereof, and enable timely release of increments.Treasury operations have been computerised in all the treasuries duringthis year. By the end of 2010-11, all the treasuries will be fullyautomated and interlinked through the internet and will form part of theIntegrated Financial Management System (IFMS). The web portal willfacilitate online monitoring, meaningful review and effective planning& financial management. I propose an outlay of Rs. 65 lakh during thisyear for completion of the project. An “On- Line System of Tax-Receipt”via a cyber treasury will be operationalised within the next financialyear as a part of the plan of e-governance. Tax-payers will be able topay their dues through the internet using Net Banking facilities.Finance Commissions


27. Sir, the Twelfth Finance Commission awarded Rs. 4368 crore to ourState for the period 2005-10. This represents 0.58% of transfers to allStates, and 4.51% of transfers to Special Category States. An amount ofRs. 4073 crore has been released by the Government of India. Thisleaves a balance of Rs 295 crore that is likely to be received in the7current financial year. Overall, we have utilized around 70% of the amountreleased by the Twelfth Finance Commission. We hope to meet all thetargets by the end of this financial year.


28. Sir, the recommendations of the 13th Finance Commission have beenaccepted by the Government of India. I am happy to inform the Housethat the award has been favourable for Meghalaya, in contrast to theaward of preceding Commissions. I would like to place on record thatthis could be achieved by our persistent endeavour. A preliminary studyof the recommendations of the 13th Finance Commission indicates thatthe total transfers to our State will be Rs 9842 crore for the period2010-15.


29. Our satisfaction at the increase in devolution of resources to the Stateis somewhat tempered by the fact that the projected transfer ofRs. 9842 crore is significantly less than our request for Rs. 22,000crore. To cover the non-plan revenue gap, we had sought an amount ofRs 11,943 crore but the Commission has recommended only Rs 2811crore for the five year period 2010-15. We had requested the ThirteenthFinance Commission to increase the share of Central Taxes from 30.5%to 50%. The Commission increased this share to 32%, an increase ofonly 1.5%. In the context of devolution of Central Taxes, the share ofMeghalaya has increased from 0.37 percent to 0.41 percent, and ishigher than the increase for other States. The District Councils andmunicipalities will benefit substantially from the recommendations. Theselocal bodies received Rs. 58 crore from the previous Commission,whereas Rs. 432 crore has been recommended for them by the 13thFinance Commission.


30. Under State-Specific Grants, the Commission has recommended Rs. 50crore for setting up of Meghalaya Police Academy, Rs. 50 crore foraugmentation of Tura water supply scheme, Rs. 30 crore for preservationof heritage as well as cave tourism, Rs. 38 crore for upgradation ofinfrastructure to promote horticulture, Rs. 2 crore for construction ofwarehouses at Tura and Baghmara and Rs. 80 crore for conversion ofSPT bridges into two lane RCC bridges. In addition, Rs. 172 crore hasbeen recommended for environment related grants including watersector management.Externally funded projects


31. Sir, for Asian Development Bank assisted projects in the Special CategoryStates, the Government of India has agreed that the loan proceeds will8be transferred as 90% grant and 10% loan. Taking advantage of thisliberal funding pattern, two projects have been initiated, including (1)North Eastern Region Capital Cities Development Investment Programme(NERCCDIP) with an investment of Rs 250 crore to upgrade urbaninfrastructure, services and management in Shillong and (2) North EasternState Roads Investment Programme (NESRIP) with an investment ofRs 403 crore for three selected roads viz, Garobadha-Dalu (93 kms),Mawngap-Umpung (76 kms) and Mawshynrut-Hahim (37 kms).Plan 2010-11


32. Sir, the 11th Plan outlay for the State indicated by the PlanningCommission was Rs.9185 crore. During the first year, 2007-08, againsta revised outlay of Rs.1017 crore, the expenditure was Rs.984 crore(96.7%). In the second year, 2008-09, plan expenditure of Rs. 1387crore was achieved against a revised allocation of Rs. 1425 crore(97.3%). In the current year, 2009-10, the revised outlay is Rs. 1655crore. We hope that by the end of this financial year we will fully utilisethis amount. I would like to bring to the notice of the House that theapproved plan outlay for 2009-10 was actually Rs. 2100 crore, andthere was a shortfall of Rs.400 crore indicated as ‘Other Resources’which the Planning Commission and Ministry of Finance have beenunable to allocate due to fund constraints.


33. Sir, the Plan is not just an aggregation of numbers, schemes and targets.In its totality it is the embodiment of the aspirations of the people, andthe pathway to fulfilling them. We await the finalisation of the size andcomponent elements of the Annual Plan 2010-2011. To facilitate theimplementation of developmental programmes and schemes in 2010-11, we have prepared a tentative State Plan Budget of Rs.1935 crore,which is subject to readjustment when the Plan size is finally decidedby the Planning Commission. Major plan allocations for the current yearare for power, roads & bridges, agriculture, rural development, healthand water supply and sanitation. I will provide a detailed picture ofsector wise priorities and a breakup of the plan outlay.Non Lapsable Central Pool of Resources (NLCPR)


34. Meghalaya has so far received Rs. 420 crore on account of 66 projectsunder the Non-Lapsable Central Pool of Resources.18 projects havebeen completed with NLCPR support of Rs.143 crore. Of the 137 NLCPRprojects retained from 2003-04 to 2009-10, 73 projects are underprocess with the Ministry of DONER for Administrative Approval.9NEC funding


35. Sir, in 2009–10, an amount of Rs.85 crore has been budgeted for NECschemes. By the end of November 2009, the State received Rs.36 crorefrom NEC, which accounts for 5.77% of the NEC’s total allocation.However, more releases are expected during this financial year. Basedon the list of prioritized schemes already forwarded to the NEC, anamount of Rs.102.98 crore is budgeted tentatively for the Annual Plan2010–11. This includes Rs.45.50 crore for PWD and Rs.16.85 crore forthe Power Department.Law & Order


36. Sir, it is a matter of pride that even in these troubled times, the State hasremained peaceful. There are undoubtedly issues on which there is adivergence of views but the Government is committed to finding asolution to these issues in a participative and constructive manner.Activities of militant groups and anti-social elements have beencontained. The Government is committed to securing a resolution ofthe inter-State boundary issues through a process of discussion anddialogue with our neighbouring State. We have impressed on theGovernment of India the need to ensure that the area along theinternational border remains peaceful. To strengthen the State PoliceForce, a sixth battalion is being raised, as are two commandocompanies, the latter drawn from existing IR Battalions. Separate WomenPolice Stations and Special Juvenile Cells have been established ineach district. Infrastructure and communication facilities, weaponry andmobility of the police have improved considerably, through grants fromthe Government of India under the scheme of Modernization of StatePolice Forces.Prisons


37. The Government has placed emphasis on improving the functioning ofprisons. In the Shillong Jail, door frame metal detectors, sirens, silentgenerators have been installed, and a CCTV System is being procured.The construction of jails at Nongstoin and Nongpoh has been taken upwith Central assistance. I propose a plan outlay of Rs. 2.5 crore for thissector.Civil Defence


38. During the current financial year, 6,064 volunteers have been trained.The Government is developing a Home Guards & Civil Defence Complexat an estimated cost of Rs. 7 crore. A tentative plan allocation of Rs. 2crore is earmarked for the new complex for the year 2010-2011.10Development of Border Areas


39. Sir, the State is committed to diminishing the inequities of access,livelihood and opportunity faced by the people who reside along theinternational border. The State Plan will incorporate measures to improvecommunication and connectivity, provide desired infrastructure,community facilities, playgrounds and markets. The scheme ofscholarships and stipends for students will be continued. Special CentralAssistance programmes under Border Areas Development Programme(BADP), will be implemented in a focused manner, reflecting the prioritiesof the people. Taking into consideration the importance of enhancingdevelopmental activities in the border areas, I propose a plan outlay toRs. 20.27 crore for this purpose during 2010-2011.District Councils


40. The Constitutional role of the District Councils to safeguard the rightsand interests of the indigenous tribal people is recognised by the StateGovernment. Schemes to assist the Councils in construction of villageroads, footpath, small bridges, playgrounds, market places, ring wells,water tanks will be continued in the current year. The State Plan budgetestimates in respect of “Aid to District Councils” for the year 2010-2011 are Rs.5.75 crore.Power


41. Sir, Meghalaya has a hydro-power potential of about 3000 megawattsof which only about 6% has been tapped. The State’s generation capacityis 186 MW, which is exclusively hydel-based. Meghalaya’s share ofpower from Central utilities in the North East is around 130 MW. However,due to transmission constraints, only 60 MW of power can be drawnduring peak hours and 80-100 MW during off-peak hours. As aconsequence, power availability is only around 40% to 50% of ourrequirement. The present unrestricted power demand of the State is610 MW, of which 480 MW is industrial demand and 130 MW is domesticdemand. To meet the power shortfall, some hydro projects have beenidentified for completion in the 11th Plan. Capacity of 193.5 MW isexpected to be added to State’s own generation. The Government is inthe process of allotting hydro and thermal power projects to NEEPCOand other IPPs. This will help the State to meet its base load demand.The State has initiated short term measures for augmenting itstransmission system to enable drawal of power from the N.E. Grid. Duringthe 11th Plan, two inter-state transmission projects, the 220 KV11Misa-Byrnihat transmission line (115 kms) and the 132 KV Agia-Nangalbibra (110 kms) are expected to be completed. This will enhancedrawal and evacuation of power of around 250 MW.


42. Government of India has asked all States to reduce Aggregate Technical& Commercial (AT & C) losses to 15% by the end of the 11th Plan,through implementation of the Accelerated Power Development &Reforms Programme. Phase I of this scheme has been completed in allthe towns, and this has resulted in substantial reduction of the AT & Closses in these areas. Implementation of Phase II under the restructuredscheme has been initiated. Government of India has sanctioned “RajivGandhi Grameen Vidyutikaran Yojana” schemes for all districts at acost of Rs.376 crore, and implementation is in progress.


43. During the Annual Plan 2009-10, the revised outlay for the Power sectorunder the State Plan was Rs 465.56 crore. I propose an enhanced outlayof Rs. 487.71 crore in 2010-11.Commerce & Industries


44. A revision of the Industrial Policy 1997 of the State is under activeconsideration of the Government. During the current year, the PrimeMinisters’ Employment Generation Programme has assisted over twohundred educated unemployed youths to establish small and microenterprises. The Department, with the support of the Ministry ofCommerce intends to strengthen the Land Customs Stations at Daluand Gasuapara. The revival of traditional border haats along theinternational border is expected to commence in 2010-11. I propose aplan outlay of Rs. 32.25 crore for this sector.Mineral Resources


45. Sir, the production of coal and limestone in the State during 2008-09was 55 lakh tonnes and 39 lakh tonnes respectively. The revenuecollected on these minerals during 2008-09 was Rs 130 crore.Production of coal and limestone during 2009-10 upto December, 2009is recorded as 35 lakh metric tonnes and 31 lakh metric tonnesrespectively and the total revenue collected on major minerals in thisperiod is Rs 101 crore. With the revision of royalty rates in September2009, the anticipated level of revenue generation for the year 2010-11is estimated to be of Rs.174 crore. Export of coal and limestone toBangladesh earns valuable foreign exchange. The quantities of coaland limestone exported during 2008-09 were 9.53 lakh tonnes and1218.80 lakh tonnes respectively. For 2010-11, I propose an amount ofRs. 3 crore under plan for this sector.Health


46. There are several disease control programmes under implementation inthe State. These include programmes to control tuberculosis, leprosy,AIDs and blindness and an initiative to eradicate malaria. The PulsePolio Campaign is a priority. With the implementation of the NationalRural Health Mission (NRHM), all these programmes are being given animpetus. The Integrated Disease Surveillance Programme (IDSP) has beenlaunched to monitor major diseases and to make the integrated approachmore effective. The incidence and occurrence of meningococcalmeningitis has been a cause of concern. Till January 2010, almost 9lakh vaccinations have been carried out against the target of 12.2 lakh.


47. A Cancer Wing will be established at Civil Hospital, Shillong, for whichan MOU has been signed between the Government of India, Departmentof Atomic Energy, and the State Government. An MoU has also beensigned with Roko Cancer Charitable Trust for a cancer awareness anddetection drive through Mobile Cancer Detection Units. New ICU unitsat Ganesh Das Hospital and Tura Civil Hospital are being establishedwith the support of the NEC. The Government is receptive to the conceptof public-private partnerships in the fields of management, research,training and emergency response services. NGOs have been associatedwith the management and operation of some PHCs & CHCs. It isproposed to provide enhanced focus on systems management, e-healthservices and bio-medical waste management. Capacity buildingprogrammes are being taken up on a priority basis. I propose a planallocation of Rs 95 crore for the health sector for 2010-11.Education


48. Sir, in the elementary education sector, the focus will be on the goalsof total enrolment and retention of the school-going population, andthe quality of education imparted. Government has taken note of theplight of school teachers in the private sector and has recently enhancedad hoc grants for 884 schools. The Rashtriya Madhyamik ShikshaAbhiyaan has been launched to improve education in secondary andhigher secondary schools. A programme - Saakshar Bharat – a revampedadult education programme especially for women - will commenceactivities in the West and South Garo Hills districts. Under the SSAumbrella, efforts will continue to achieve the goal for providing qualityeducation to all children in the age group of 6-14 years.13


49. In the preceding academic year, 3.64 lakh children at the Lower PrimarySchool level and 1.4 lakh children at the Upper Primary School levelhave benefited from the mid day meal programme. Issues related toinfrastructure deficiencies and manpower shortages are being addressed.Eligible lower and upper primary schools and EGS centres that havenot been provided with kitchen sheds are being provided with fundsfor this purpose. Schools have been directed to appoint cooks-cumhelpers,at a monthly honorarium of Rs. 1000/- per month. The monitoringmechanism has been streamlined and Deputy Commissioners advisedto intervene where required.


50. At present, there are 4598 untrained Lower Primary School teachersand 12,381 untrained Upper Primary School teachers. 283 teacherswere deputed for the two-year diploma course during 2009-10 and357 teachers are being deputed in 2010-11. 3000 teachers are beingenrolled for the “Certificate in Primary Education” course run by IGNOUin the distance mode. Another initiative to sharpen teachers’ skills isby imparting teaching techniques through the EDUSAT system.


51. Government is seeking to attract institutes of higher learning. Privateuniversities are being encouraged to set up their campuses in the State.A Polytechnic is being set up in East Garo Hills district. The polytechnicsat Jowai and Tura are being taken over by the Government. TheGovernment of India’s initiative to set up a National Institute ofTechnology (NIT) in the State will be operationalised this year. Stepshave been taken to improve the working conditions of College teachers.The Government has recently approved the implementation of the UGCrecommendations for revision of pay scales for eligible college teachers.


52. A plan outlay of Rs.143 crore for General Education and Rs. 10.50crore for Technical Education has been provided in 2010-2011.Labour


53. Efforts are being made for skill development through upgradation ofexisting ITIs and setting up of new ITIs and Skill Development Centres.I propose a plan outlay of Rs. 5 crore for Employment and Trainingduring 2010-2011 which includes Rs. 50 lakh as the State share underthe World Bank assisted Project.Social Welfare


54. Sir, in 2009-10, vocational training was imparted to 69 differently abledpersons and scholarships extended to 840 physically challenged14persons. Grants for purchase of uniforms to 181 students, book grantsto 271 students, conveyance allowance to 116 differently abled persons,unemployment allowance to 6 physically challenged persons andassistance for medical treatment of 227 aged destitute persons wereprovided. 814 needy children are being provided with food, clothing,shelter and education through 22 voluntary organisations. Theseschemes will be continued in the current year. The training centres forself employment of Women at Shillong, Tura and Jowai will imparttraining to 105 women in weaving, tailoring and embroidery and 10computer trainees for a period of one year. Efforts will be made to openanother training centre and enhance the intake to 130 each year. Theprogramme for providing supplementary nutrition to children will beenlarged. A plan outlay of Rs. 31 crore is proposed for this sector in2010-2011.Water Supply & Sanitation


55. Sir, we are committed to providing potable drinking water to allinhabitants of the State as envisaged in the Bharat Nirman programme.A target was set to cover 500 habitations during 2009-10. Till February2010, 305 habitations were covered. Stand-alone water purificationsystems are being installed in 278 LP schools that face water qualityproblems.


56. The Tura Phase–III and Mairang water supply schemes have beencommissioned. The Nongpoh water supply scheme will becommissioned this year. The Jowai water supply scheme is expectedto be completed by December 2010. Work on implementation of GreaterShillong Water Supply Project Phase–III under JNNURM has begun andis scheduled to be completed within 2011-12.


57. The Total Sanitation Campaign will be implemented with renewed vigourand its coverage extended during 2010-11. 52 villages were presentedwith the Nirmal Gram Puraskar by Government of India during the year.I propose Rs. 80 crore for this sector during 2010-11.Rural Development


58. The Community & Rural Development sector plays an important role inaccelerating the economic and social development of rural areas witha view to increasing the income level and quality of life of the ruralpeople. Centrally Sponsored Schemes and Programmes like SwarnjayantiGram Swarozgar Yojana. Indira Awaas Yojana, Mahatma Gandhi NationalRural Employment Guarantee Scheme, National Social Assistance15Programme and the Central Sector Schemes like Backward RegionsGrant Fund will be continued during the current year. State SectorSchemes for Assistance to Small and Marginal Farmers, Special RuralWorks Programme, Construction of Rural Roads Programme and ChiefMinister’s Special Rural Development Fund and other CD Schemes willcontinue to be implemented during the year. I propose a plan outlay ofRs.160 crore for this sector in 2010-2011.Food Security


59. Government will adopt a multi-pronged strategy to tackle the twin issuesof food security and inflation through an improved and efficient PublicDistribution system, heightened consumer awareness and enforcementof regulatory measures. Antyodaya Anna Yojana (AAY) and the Annapurnascheme for indigent senior citizens will be continued. The PDS will bestreamlined and the network of Government nominees, wholesalers anddealers optimized. Price Monitoring Committees will keep a watch onthe prices of essential commodities at the State, District and Sub-Divisional levels. Consumer Courts will continue to provide redress toconsumers under the Consumer Protection Act, 1986. A tentative planoutlay of Rs.3.4 crore is proposed for the sector during 2010-11.Road Connectivity and Transport


60. Sir, in the coming year, we can expect commencement of work on fourlaningof NH 40 and the Shillong Bye Pass. Both projects are now at anadvanced stage of consideration for award of work by the NationalHighways Authority of India.


61. In the current year the Government provided Rs. 180 crore from theState Plan for construction of roads & bridges. 368 schemes will becompleted during this year. This will result in 46 km of new construction,227 km blacktopped roads, 42 km improved and widened roads and895 metres of bridges.


62. Under NEC, there are 8 ongoing projects with a target of 44 kms ofupgraded roads and 6 bridges. 2 schemes viz. Agia-Medhipara-Phulbari-Tura (73 km) and Mankachar-Mahendraganj (23 km) have been approvedrecently. 20 ongoing projects under NLCPR at a cost of Rs.136 croreare in progress of which 4 are targeted for completion this year. 3schemes have been sanctioned this year while 8 schemes aggregatingRs.80 crore have been retained by the Ministry of DONER.16


63. PMGSY Phase V is now well underway, involving an investment ofRs.114 crore to result in 184 km of rural roads connecting 39 habitationsdirectly and 17 incidentally. Phases I to IV are slated for completionduring the year after which Phase VI would be taken up. Advance actionfor preparation of Detailed Project Reports for Phase VII is proposed tobe initiated in the coming year. A plan outlay of Rs.205 crore is proposedfor 2010-11.


64. An amount of Rs 30.24 crore has been provided for additional landacquisition for upgradation of Umroi Airport. The land will be acquiredshortly. Steps have been initiated for setting up of a permanent helipadin Shillong.Urban Development


65. Sir, under the flagship and mission-mode programme of JNNURM, effortsare being made to provide urban infrastructure. The focus is on providingbasic amenities and housing for the urban poor. Implementation of theseschemes will create socially useful public assets and generateemployment. A plan outlay of Rs. 135 crore is proposed for this sectorin 2010-2011.Housing


66. Under the Rural Housing scheme, three bundles of CGI Sheets are givento the houseless poor for construction of houses. This year, 3982 familiesare being covered under the scheme at a cost of Rs 5.93 crore. For nextyear, I propose to enhance the plan allocation to Rs 7.5 crore.Agriculture


67. Agriculture is the key to rural prosperity and food security, and to thegeneration of surpluses that enable productive investment as well asspending to catalyse growth. Stress will be on achieving higher levelsof productivity and production to improve food security and reducethe deficit of the State in foodgrain production. The AgricultureDepartment will be encouraged to further evolve as a knowledge-basedentity, providing technology, skills and know-how to the farmingcommunity. Functioning on a “farmer first” principle, it will provideservices and technical advice to farmers, and on a selective basis takeup demonstrative activities. The department will expand areas underBoro paddy and extend coverage of High Yielding Varieties (HYV).17


68. The horticulture sector has flowered to become one of the lead sectorsof the State. New crops, technologies and opportunities need to spreadto more farmers across the State, so that the fruits of progress areavailable to all. Recognising that horticultural development cannot takeplace in isolation, Government will strive towards a total approachfrom the farmgate onwards, a system that includes the development ofinfrastructural facilities, marketing linkages, post harvest managementand value addition. As a step in this direction, 5 Farmer Markets and 4new Horti-Hubs will be established and cold chains and transportationinfrastructure inducted. The budgetary allocation of the State forhorticulture will be complemented by additional resources leveragedfrom the Technology Mission on Horticulture and RKVY. Building onour tradition of organic farming, the Government will put in placeawareness cum promotional campaigns for consumers, encouragefarmers to continue organic practices and prioritise crops for certificationprocesses.


69. Reflecting the criticality of water conservation, management andutilization, the newly created Department of Water Resources will beoperationalized to impart focus and intensity. The Directorate of WaterResources will be strengthened to enable it to play a proactive roleand fulfill its expanded set of responsibilities. It will also receive supportfrom the State Plan, from the Accelerated Irrigation Benefit Programmeand other centrally funded programmes to enable it to enhance theirrigated area of the State.


70. Considering the importance of these activities, I propose a plan outlayof Rs. 176.35 crore for the agriculture, horticulture & water resourcessectors in 2010-11.Soil & Water Conservation


71. Sir, at present ten projects are being implemented under RuralInfrastructure Development Fund. 32 Minor irrigation projects will betaken up under the Accelerated Irrigation Benefit Programme in 2010-11. Implementation of the Improved Shifting Cultivation Project withsteps to adopt proven technologies and implementation of IntegratedWastelands Development Programme will also continue. Theimplementation of the Ecological Restoration Works of Sohra and itssurrounding areas involving 45 villages will be started during the year.I propose a plan outlay of Rs.63 crore for soil & water conservationworks during 2010-11.18Veterinary and Animal Husbandry


72. Sir, the State is expected to produce 104 million eggs, 81 thousandtonnes of milk and 40 thousand tonnes of meat during 2009-10. Thethrust in the current year is on strengthening of pig and poultry breedingfarms. In 2010-11, the Department will focus on setting up newdispensaries, up-gradation of existing Veterinary Aid Centres, settingup of a Vocational Training Centre in West Khasi Hills, strengthening/upgrading the existing pig breeding farms at Baghmara andKyrdemkulai, improvement of the poultry farm at Phulbari, and assistanceto dairy co-operative societies. Steps will be taken to establish slaughterhouses in Jaintia Hills and West Garo Hills districts. Entrepreneurs, cooperativesocieties, SHGs and communities will be encouraged to takeup commercially viable livestock and poultry production. The targetsfor production of milk, meat and eggs during 2010-11 are 82 thousandtonnes, 40.8 thousand tonnes and 106 million respectively. Steps havebeen taken to regulate movement of poultry and livestock from outsidethe State to prevent transmission of contagious diseases. Rs. 31.50crore is proposed for this sector for the next year.Sericulture & Weaving


73. The State can pride itself on the fact that it is the home and the geneticrepository of eri and muga silk. The Department of Sericulture andWeaving will build on this, and our legacy of skill to increase the areafor host plants, enlarge the production of cocoons, and embark on aprogramme of design development and product diversification. It willenter into a strategic partnership with the National Institute of FashionTechnology (NIFT) to provide assistance and technical training toweavers. A plan outlay of Rs. 11 crore is proposed for the SericultureSector during 2010–2011.Fisheries


74. Topography, terrain and the landholding pattern inhibit the developmentof large fish farms. The programmes of the Fisheries Department willtherefore especially focus on the small fish farmers. Convergence withflagship and large programmes like RKVY, NREGA and BRGF will bepromoted to enhance the flow of resources to the sector. Keeping inmind the deficiency of fish seed production, the departmental farms atUmsning and Gasuapara are being revamped, with funding from theRKVY, to enable these farms to emerge as major fish seed producingcentres. A plan outlay of Rs. 9.5 crore is proposed for this sector in2010-2011.19Forests


75. Sir, the State of Forest Report 2009, recently released by Forest Surveyof India, has indicated that the forest cover in Meghalaya has increasedby 116 sq km since the last assessment done two years earlier. Bambooand medicinal plants are emerging as key elements of our future strategyto combine conservation of forests and other biological resources withlivelihood issues. A significant step has been the enforcement of theMeghalaya Charcoal (Control of Production, Storage, Trade and Transit)Rules, 2008. In the past three years, the Department has created 5016hectares of bamboo plantations with support from the National BambooMission. Steps are being taken to constitute the Meghalaya BambooDevelopment Agency. The Meghalaya State Medicinal Plants Board hassubmitted proposals to the National Medicinal Plants Board for sanction.I propose a plan outlay of Rs. 30.25 crore for this sector in 2010-11.Cooperation


76. Sir, on the basis of the recommendations of the Vaidyanathan Committeeon the revival of the cooperative credit structure, a revival package hasbeen formulated for reviving short term credit facilities to cooperatives.This will benefit the Meghalaya Co-operative Apex Bank, primaryagricultural credit societies and multipurpose cooperative societiesthat deliver credit services. The package will support writing off ofaccumulated losses, and provide technical assistance to upgradeinstitutional and human resources. The Government of India has relaxedthe norms of the revival package for the North-East and assistance willbe on a 90:10 basis. Assistance of about Rs. 10 crore is likely to flowto the cooperative sector under this package. I propose a plan outlayof Rs. 6 crore for 2010-11.Tourism


77. The Government will adopt a multi-faceted approach to realise theconsiderable potential afforded by the tourism sector to provideeconomic opportunity, employment and income to the people, and toproject a positive image of the State. Infrastructure catering to differentsegments of tourists will be established with the active involvement ofthe private sector. Promotional material, attractively designed andpresented, will be prepared and disseminated through the print andelectronic media and at specialized events and fairs. The existing rangeof tourism products will be enlarged and diversified to cater to widerinterest groups and to niche segments. I propose to allocate Rs.13.45crore for this sector in 2010-11.20Arts & Culture


78. The Department is tasked to preserve and promote indigenous culturaltraditions and practices, and provide a platform for the exchange ofcultures. In its efforts, it has met with considerable success. I proposeto allocate a plan outlay of Rs.7.5 crore for 2010-11 for this sector.Information & Public Relations


79. Sir, the Department of Information & Public Relations is responsible fordissemination of information on the policies, programmes and activitiesof the Government. Through the media and by participation in fairs andfestivals, the Department projects and promotes the State and its people.A Journalists’ Welfare Fund has been constituted to provide one-timeassistance to local working journalists of the State. I propose an amountof Rs. 4.25 crore under plan for this sector for the financial year 2010-2011.Sports


80. Sir, in January 2010, fifty youths represented the State at the NationalYouth Festival at Bhubaneshwar, in which one of the participants waspresented with a National Youth Award. The State tally in the NationalBoxing and the National Judo and Karate Championship in the yearcomprised 31 Gold, 15 Silver and 24 Bronze medals. Efforts to providebasic sports infrastructure at different locations will continue, as willthe scheme for extending financial assistance to sports associations,clubs, and schools. During 2009-10 an amount of Rs.3.8 crore wassanctioned for completion of 28 ongoing projects. I propose an outlayof Rs. 14.50 crore during 2010-2011.Information Technology


81. The Government will continue strengthening of capacity-buildinginfrastructure, networking, software development and IT educationbesides providing internet connectivity to educational institutions. TheGovernment has tied up with NIIT for skill upgradation and empowerment.The IT Park set up at Lumjingshai, Shillong is being expanded. CommonService Centres (CSCs) under PPP mode for bringing governance andservices closer to the people have been set up in 160 locations tillFebruary, 2010 and another 65 centres will be set up soon. Letter ofIntent for SWAN and State Data Centre has been issued. I propose aplan allocation of Rs.9.5 crore for this sector during 2010-2011.21Guest Houses


82. Sir, we are expediting the completion of the residential cum commercialcomplex at Kolkata, and of the Meghalaya House at Vasant Vihar, NewDelhi. Administrative Approval has been accorded for the constructionof the Governor’s Guest House at Tura. Work on the Circuit House atNongstoin has been initiated. A plan outlay of Rs. 40 crore is proposedfor 2010-2011.Legal Metrology


83. The Legal Metrology Department will continue to take steps formaintaining uniformity and accuracy in weights and measures. An amountof Rs. 85 lakh has been provided for the year 2010-11 for theDepartment.Meghalaya Administrative Training Institute (MATI)


84. Sir, a new building for MATI is under construction. The Institute is beingstrengthened to enable it to play an enhanced role in training andcapacity building, to equip officers and staff to contend with theincreasing complexity, range and coverage of administration. In thisyear, MATI was chosen, along with other Administrative Training Institutesto impart training to junior support staff of the Government of India. Inan effort to catalyse and further the empowering and far reaching impactof the Right to Information Act, MATI has carried out an extensiveprogramme of training. “A User’s Guide on Right to Information in Braillefor the Visually Impaired” has also been prepared and published. Aplan outlay of Rs. 5 crore is proposed for MATI during 2010-2011.Printing & Stationery


85. The Government Press will be strengthened with equipment, plant and achinery to enable it to cope with the increasing demands of high quality printing from other departments. The Assembly Press will be upgraded to enable it to respond to the urgent and important demands placed on it. A plan outlay of Rs. 2.5 crore is proposed for this sector during 2010-2011. Disaster Management


86. For creation of awareness and preparedness amongst communities to cope with disasters, a series of activities have been undertaken with financial assistance from the Government of India. Mock drills, trainings 22 on collapsed structures, trauma counseling and search & rescue operations have been conducted. I propose a plan outlay of Rs. 50 lakh for this sector. Tax & non tax revenue


87. Sir, the Government has invested Rs.3.14 crore in the computerization of Taxation Department. The State has implemented VAT successfully which led to the increase of revenue for the State by 19.76% from Rs.234.79 crore in 2007-08 to Rs.281.81 crore in 2008-09. During the current year, VAT collection had reached Rs. 213.13 crore at the end of
January, 2010.
88. The Taxation Department is planning to amend the Meghalaya Electricity Duty Act and The Meghalaya Tax on Luxuries (Hotels & Lodging Houses) Act, 1991, which have become outdated.


89. The total revenue receipts of the State of Meghalaya through excise duties and other levies upto January 2010 were Rs.67.29 crore, which is estimated to increase to Rs.81 crore for the year. The revenue earned through Registration & Stamp Duties for 2008-09 was Rs. 5.53 crore.


90. Sir, the State has to find its own sources of additional revenue to meet its committed liabilities and development needs. I am exploring ways and means to improve the revenue prospects of the State. Some of the modifications proposed to the tax structure are as follows:


(i) It has been decided not to levy additional taxes on items of common consumption including rice, wheat and potato, as such taxes will adversely affect the weaker sections.


(ii) To enable farmers of the State to be competitive and to improve the income of the cashewnut growers, we have revised downwards the tax rate on cashewnut from 12.5% to 4%. This will encourage setting up of cashewnut processing units within the State. (iii) I also propose to amend the Meghalaya Tax on Luxuries (Hotels and Lodging Houses) Act, 1991, to rationalise the tax on room tariff with a view to encourage and promote tourism. (iv) As decided in the Empowered Committee of State Finance Ministers, I also propose to enhance the rates of VAT on items presently fixed at 4% to 5% to generate additional revenue. 23


91. Sir, in my budget speech last year, I had indicated that steps would be taken to generate additional resources of Rs. 25 crore. As a consequence Government revised the royalty rate on coal from Rs. 220/- to Rs. 290/- per metric tonne inclusive of cess, with effect from 1st September, 2009. With this revision, the State is expected to mobilise additional revenue of Rs. 20 crore by the end of the fiscal year 2009-10 and Rs. 42 crore as additional revenue from the next financial year onwards.


92. We propose to introduce holograms in the sale of liquor in the State, to check leakage of revenue. This step along with other measures is expected to generate additional revenue of Rs. 10 crore annually.


93. The State is expected to improve its revenue collection on account of the measures taken by the Forest Department, which are: (i) fees imposed on producers, stockists and dealers in charcoal; and (ii) export transit pass fees on consignments of charcoal that leave the State.


94. In addition, measures such as revision of rates of license fees and other excise levies, increase in the rates of tax under the Meghalaya Passengers and Goods Taxation Act and rationalisation of the rate of tax on works contracts will be taken in the next year. Budget Estimates 2010-11


97. Sir, as I said earlier, the 2009-10 budget was prepared against the backdrop of a very unfavourable financial scenario. I would like to remind the House that the fiscal deficit was estimated at Rs 614 crore for the year 2009-10. This was high because of the additional financial burden anticipated on account of the implementation of the revised pay scales. However we have tried to reduce the fiscal deficit in actual terms during the year by curtailing expenditure.


98. The estimated total receipts in 2009-10 were Rs. 4215 crore of which the revenue receipts were Rs. 3806 crore and capital receipts were Rs. 409 crore. Excluding borrowings and other liabilities, the total receipts stood at Rs. 3825 crore. For 2010-11, I have estimated the total receipts at Rs 4895 crore, an increase of Rs 680 crore or 16% over the current year. The revenue receipts are estimated at Rs 4394 crore and capital receipts at Rs 501 crore. Excluding borrowings and other liabilities, the total receipts in 2010-11 are estimated to be Rs. 4414 crore. Almost half of the revenue receipts are being contributed by Plan Grants which are Rs 2293 crore. I have estimated the State’s Own 24 Revenue at Rs 723 crore, an increase of Rs 82 crore from that of current year. A grant of Rs 483 crore from the 13th Finance Commission is budgeted during 2010-11.


99. In 2009-10, the total expenditure was budgeted at Rs. 4622 crore including repayment of loans and other liabilities. Excluding repayments of loans and other liabilities, the total expenditure was estimated at Rs. 4439 crore. For 2010-11, I have estimated the total expenditure at Rs 4970 crore, an increase of 7.5% over the current year. Excluding repayment of loans and other liabilities, the estimated total expenditure during 2010-11 will be Rs. 4790 crore, of which revenue expenditure is estimated at Rs 4062 crore and capital expenditure at Rs 728 crore.


100. I have estimated the plan expenditure including Centrally Sponsored Schemes, Central Sector Schemes, NEC and NLCPR for 2010-11 at Rs 2582 crore, an increase of 7.5% over the current year’s budget estimate of Rs.2401 crore. Amongst the sectoral allocations, I propose an outlay of Rs 533 crore for education, Rs 364 crore for agriculture and allied sectors, Rs 355 crore for PWD, Rs 310 crore for power, Rs 159 crore for C&RD, Rs 128 crore for health and Rs 100 crore for PHE.


101. The total non-plan expenditure for 2010-11 has been estimated at Rs 2388 crore, an increase of 7.5% from the budget estimate of 2009- 10. Interest payment during 2010-11 is estimated at Rs 267 crore and pension payment at Rs 202 crore. Salary payment is estimated at around Rs 1160 crore. I have estimated Rs 367 crore for education, Rs 243 crore for police, Rs 205 crore for PWD, Rs 187 crore for agriculture and allied sectors, and Rs 105 crore for health.


102. During the current year we were fortunate to receive advance Special Plan Assistance of Rs 545 crore from the Centre which served to partially cover the fiscal gap arising on account of the implementation of the revised pay.


103. I am pleased to present the Budget for 2010-11 with a fiscal deficit of Rs 376 crore, which is around 3.02 % of GSDP and Rs 238 crore less than that of year 2009-10. As stated earlier, the fiscal deficit for the year 2009-10 was estimated to be Rs. 614 crore. On this occasion, I am able to present a lower fiscal deficit mainly because of the favourable award of the 13th Finance Commission in the form of higher share of central taxes and increase in non-plan revenue grant. The estimated fiscal deficit is only 0.02% higher than the 3% ceiling indicated under the Meghalaya FRBM Act. 25


104. The Debt-GSDP ratio for 2009-10 was 29.41% as per the budget estimates. For 2010-11 it is estimated to be 29.03% which is 0.38% lower than that of the current year. I hope that with the revised estimates, Government will be able to contain the fiscal deficit and the Debt- GSDP ratio well within the desired limits of 3% and 28% respectively by the end of the next financial year.


105. Sir, along with the Budget, I am presenting a Vote-On-Account for proposed expenditure during the first three months of the year 2010-11 for consideration of the House.


106. Mr. Speaker Sir, with these words I commend the Budget to this august.


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