Hyderabad: Andhra Pradesh has set the deadline of 2029 to achieve its goal of emerging as a “golden state”, becoming one of the three most developed states in India by 2022, when the country will celebrate the 75th anniversary of its Independence.
The plan was announced by finance minister Y. Ramakrishnudu, while presenting the first budget of the reorganised state of Andhra Pradesh for year 2014-15 on Wednesday.
Proposing an expenditure of Rs1.11 trillion (Dh67 billion) the budget has not imposed any fresh taxes on the people. The new state will have a revenue deficit of Rs60.64 billion and fiscal deficit of Rs120.6 billion.
The budget includes planned expenditure of Rs851.51 billion and Rs266.73 billion, Ramakrishnudu said. The fiscal deficit works out to 2.30 per cent of GSDP and the revenue deficit was estimated at 1.16 per cent.
The budget estimates include Rs145 billion assistance from the Central government on account of division of the state.
Allocations for various sectors include Rs60.94 billion for rural development, Rs438.8 billion for medical and health, Rs125.95 billion for school education, Rs8.12 billion for intermediate education and Rs227.5 billion for higher education. Rs110.5 billion will be spent on drinking water supply in rural areas.
Noting that Andhra Pradesh was starting its journey with a very precarious financial position, Ramakrishnudu said that rebuilding the state economy was the top most challenge before the government.
“I am confident the Budget will initiate the process of building the new State on sound lines and pave the way for taking rapid strides in the years to come,” said Ramakrishnudu, who had also presented the budgets of Telugu Desam government of United Andhra Pradesh in the past.
Defending the decision to waive the farm loans Ramakrishnudu said that it was necessary to provide relief to farmers and build a strong foundation for sustainable agriculture.