Telangana with over a month left in the current financial year, appears optimistic about meeting its financial requirements. Confidence stems from the expectation of significantly lower actual expenditure compared to the initial budget estimates. The government projected total expenditure at ₹2.49 trillion, with ₹2.11 trillion allocated for revenue expenditure in the fiscal year 2023-24.
However, Deputy Chief Minister (Finance and Energy) Mallu Bhatti Vikramarka, during his budget speech, stated that the estimated total expenditure for the fiscal would be ₹2.24 lakh crore. The state anticipates concluding the fiscal year with a revenue surplus of ₹9,031 crore and a fiscal deficit of ₹33,786 crore, with a revenue expenditure totaling ₹1.69 lakh crore.
According to a senior Finance official, the government is unlikely to reach the projected ₹2.5 lakh crore, resulting in substantial savings. They anticipate that this surplus will offset any additional expenditures that may arise. The state plans to raise ₹46,400 crore for further expenditure during the current fiscal, as approved by the legislature through a passed bill. Supplementary grants have been sought to cover amounts already spent, pending full appropriation by the legislature.
Despite these reassurances, the government is grappling with challenges in securing finances, particularly in fulfilling promises outlined in the form of six guarantees to the public. While the government has implemented initiatives like free bus travel for women and enhanced Aarogyasri coverage, it approaches commitments such as Rythu Bharosa cautiously due to discrepancies between total receipts and expectations. Rythu Bharosa promises ₹15,000 per acre investment support to farmers.
As of the end of the third quarter, the state’s revenue receipts reached ₹1.61 trillion, falling short of the projected ₹2.59 trillion in budget estimates, with a gap of nearly ₹1 trillion, including borrowings and liabilities of ₹36,536 crore. The government continues to navigate financial challenges while striving to fulfill its commitments to the public.
