Tuesday, March 14, 2017

Inspirational, Message Oriented Telangana Budget : Vanam Jwala Narasimha Rao

Inspirational, Message Oriented 
Telangana Budget
Vanam Jwala Narasimha Rao

With an amount of Rs.1,49,646.00 crore proposed as total expenditure consisting of an estimated committed expenditure of Rs.61,607.20 crore and an expenditure of Rs.88,038.80 crore under ‘Pragati Paddu’ or expenditure on schemes, the 2017-2018 Telangana State budget was presented to the state Assembly.

It is no exaggeration to say that the fourth consecutive Budget presented by Finance Minister Eatala Rajender is both inspirational and message oriented. The Budget has reflected the Government’s objective of reaching out to all sections of people, all those in the hereditary professions, all religions, people working in various fields, all government departments that are entrusted with the implementation of development and welfare schemes, lower income as well as middle income groups and with no exception. The Budget has truly showed the way the Budget should be incorporating the concept of justice to all! Like the earlier three years’ Budgets, this Budget too, has echoed the commitment of Honourable Chief Minister K Chandrashekhar Rao towards welfare of the poor and economic development of the State.

The Budget further reflected the practical vision of the Chief Minister, who had a four and half decades of experience of working closely with the people and knowing their pulse as well as his thinking process. This Budget has addressed itself to the weaker sections, Minorities, BCs, MBCs, STs and other vulnerable sections that have been subjected to the oppression for decades together. This Budget has given a new hope, faith and confidence among the SCs/STs/people in hereditary professions that they would be able to lead a comfortable life henceforth which was non existent in the past. This Budget has the commitment and a comprehensive action plan to develop these sections of the people. This Budget has also revealed how rural economy can be strengthened, how people in the hereditary professions like Fisherman, Yadavs, Handloom Weavers and others can become great economic resources of the State. It also shows on how there will be a qualitative change on the rural life through the hereditary professions. There is an undisputed stamp of the CM on this Budget. This Budget is a perfect reflection of the CM’s dream of making the state a Bangaru Telangana State.

This Budget has amply proved that if the rural economy is strengthened and protected then the villages in Telangana State will be self-sufficient. The government has explained in detail on how, under the then united AP, the living conditions in the Telangana region were shattered, the negligence of agriculture, how artisans and other people living on their hereditary professions had to migrate to other places for a livelihood. The Budget is made to protect and sustain their lives. The Budget has emanated confidence that only through strengthening of the rural economy that the State’s economic development can march ahead. Accordingly, schemes were formulated to strengthen the hereditary professions. This Budget also showed that there is a lot of human resource available in the state and hereditary professions are a boon to the State. The state government has taken the first step to eradicate the tragedy of the rural areas and make over them for colorful future through this Budget.



One can find the spirit of the Telangana movement in this Budget. For those who believed that their lives would be bettered if a separate Telangana state is formed this budget is an answer, that, this is how the lives are going to be bettered under the Telangana State.  There is befitting answer to the Andhra leaders, the Prophets of Doom, who predicted that if a Telangana state is formed it would be disastrous. During the movement KCR and other leaders called the Andhra leader bluff and this Budget proved that the Telangana leaders were right.

In the initial stages of the Telangana state’s formation, to be frank, there was an uncertainty looming large. There were no well laid down proposals and no hint as to how to present a Budget? The first Budget was presented with guessed estimates.  To understand the financial condition of a new State it took one year, from one April 1 to the next year 31st March, to assess the situation. An analysis was done whether the State would have a positive Budget with a growth or will have a negative growth of a Budget with deficit. The state government has done a review with lots of patience and expertise. The detailed reviews that the CM had, proved that, the State would register a phenomenal financial growth rate in 2016-17 compared to 2015-16. And the rate will be better than other States in the country. There is marginal decrease in the rate in the third quarter of last financial year due to the demonetization. All these factors have been reflected in the present Budget.

Against this background and taking all concerned things into confidence the Government presented its budget with all transparency and in accordance with the well laid norms in this regard. The basis for this year’s budget is the broad fiscal policy as defined by the Government of India. The state has to be “alike” in this context and cannot be “unlike” as there is no alternate since the states are not independent as far as the fiscal policy broadly is concerned.

As directed and as desired by the Government of India the state budget is broadly classified as Revenue and Capital expenditures instead of the Plan and Non Plan expenditure. Items like establishment that include salaries, pensions, debt service, regularly allowed increase of DA as is done in GoI, maintenance of various assets of state, new employment creation etc., are brought under one category. The second category is the welfare measures of various categories. In accounting too, both the Centre and the state are following the guidelines given by the CAG. The Telangana state has also followed these new guidelines as part of the uniform policy in the country. Welfare programmes were brought under another category. The third category of expenditure pertains to pensions under the Welfare Schemes, Fee reimbursement, supply of fine rice etc. The concept of “Governance by Finance Department” is shifted to “Governance by all departments concerned”.

The present Budget is aimed at properly managing the financial situation that was neglected under AP rule, realizing the dreams of the oppressed classes and restoring the glory of Telangana.  The Budget also show cased the CM’s road map that the administration should work with people as Center and their issues as focal points. It also reflected the CM’s commitment that the fruits of development should reach to the lowest of the low among the society. With the changes that took place in the formulation of the Budget which have a bearing on the SC/ST Sub Plan, the Budget mentioned about a Special Fund to be created based on the population figure of the SC/STs. This was recommended by the SC/ST Committee. This is an important development and it has also shown the commitment this government has on SC/ST’s welfare.


In the speech given by the Finance Minister, in the Budget details and his remarks have clearly reflected the government’s aspirations and its thinking process.  A special mention is also made on the administrative reforms initiated by the government such as small units of administration and how they help the common man, decentralization of administration, administrative effectiveness and convenience to the people.  Through these reforms how geographical uniformity, cultural unity, proper utilisation of the local resources and administration to the doorstep of common man is also mentioned in the Budget. It also mentioned about on how the government has given priority to agriculture and its allied sectors, subsidies to poly house and micro irrigation schemes, irrigating one crore acres through the irrigation projects, development of fisheries, sheep rearing, welfare of the hand-loom weavers, Women and Child welfare, Welfare of Brahmins, 2 bed Room House scheme, Health and several others issues have find their mention as per their priority in the Budget.

Overall, the Budget is, inspirational and message oriented


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