Releasing the brand new records of your comptroller and you may auditor-general (CAG) for 2014-15, dominating accountant general Jagbans Singh told you Punjab’s revenue cost (non-productive) is on the rise because the financial support expenses (productive) had slowly refuted. (Karun Sharma/HT Photo)
Regardless of the tall says created by the fresh Sad-BJP bodies, the primary accountant general displayed a keen abysmal picture of Punjab profit if you’re giving a noisy and you may obvious caution – the official try went to possess a major loans pitfall because 50 % of of one’s financial accountability regarding whopping Rs 1.12-lakh crore must be paid within the next seven years.
Establishing about three of the five profile of your comptroller and you may auditor standard (CAG) to possess 2014-15, prominent accountant standard Jagbans Singh told you Punjab’s funds costs (non-productive) are increasing as the investment expenditure (productive) got slowly declined. He said a corner of cost try over to your repayment and you can upkeep the new significant money, leaving almost no currency on county to pay for the innovation facts.
Other than the condition of the newest cash, the fresh account released towards Friday as well as talked about multiple instances of misappropriation regarding finance dig this really worth crores away from rupees, and showing this new a failure financial wellness of your social industry products.
Brand new CAG plus found a primary mismatch involving the bucks credit limit (CCL) desired by the regulators when compared to the inventory off grain stored of the county procurement firms
Brand new revenue receipts increased from the a yearly mediocre rates off 8.27% through the 2010-11 so you can 2014-fifteen, whereas cash cost expanded on an annual average rate out-of 8.34%. New revenue cost (non-productive) proceeded so you can make up a principal piece (93 so you can 95%) of your own total costs during this time. The rise into the money invoices in the 2014-15 (Rs 4,000 crore) has also been mainly due to upsurge in provides from government away from Asia.
The latest revenue expenses (non-productive) increased by the Rs 5,one hundred thousand crore, whereas funding costs (productive) enhanced because of the Rs 900 crore. The administrative centre expenditure, although not, was only 33% of projections made in new financial combination roadmap.
The newest money shortage flower to Rs seven,600 crore off a deficit from Rs 5,3 hundred crore this current year-11. Government entities failed to secure the money deficit in this restrict of ‘no for each cent’ prescribed about fiscal consolidation roadmap.
People obligations increased to Rs step one.12-lakh crore out-of Rs 75,000 crore this present year-eleven. A primary percentage of borrowings is utilised having repayment off prior to borrowings (47 to help you 70%) and funds expenses (20 so you can 39%). Simply 8 to help you 19% of your own borrowings was indeed utilised to possess funding costs during the 2010-fifteen.
“In the event it routine continues on, Punjab wouldn’t be capable make even more revenue so you’re able to provider its personal debt therefore would have no option but to increase the fresh borrowings on a yearly basis to repay the newest borrowings of before ages,” states the fresh new declaration.
Regulators must pay-off eleven% of its debt anywhere between step one-three-years, 20% anywhere between 3-five years and you may 19% ranging from 5-eight years. They shows that condition should repay more 50% of its personal debt within the next 7 ages. “That is a stunning status plus the county is actually going towards a life threatening obligations payment updates, which is referred to as personal debt trap,” warns brand new report.
He told you a corner of one’s expenditure are over toward fees and you may upkeep the brand new large money, leaving little currency getting development factors
Although the loans-GSDP (disgusting state residential device) proportion at thirty two% are during the address repaired (38.7%) beneath the Fiscal Responsibility and Funds Management Work, yet the borrowed financing was indeed mainly utilized for redemption away from previous costs. As much as 23% of one’s cash invoices were utilized to help you provider the newest bills through the the present day year.
The newest Punjab regulators could have been indulging in some really serious bluffing whenever you are glossing across the profile of your strength resources and you will cereals procurement businesses.
Brand new CAG statement listed in the new set up toward Tuesday night keeps showed that if you’re profile of your own a portion of the overall performance and purchase review of one’s Punjab Condition Fuel Enterprise Limited (PSPCL) and Punjab County Alert Agency Restricted (PSTCL) was “refurbished” to appear top, the official procurement providers excessive their a fantastic arrears by a number of hundred crores.
If you are unbundling this new Punjab Condition Energy Panel, Punjab got put a monetary load of Rs twenty five,one hundred thousand crore on a couple of the new businesses–PSPCL and you will PSTCL–by passing unfunded obligations onto her or him. Amazingly, the state bodies found so you can “refurbish their balance sheets” because of the inflating its collateral funding on one or two organizations by the Rs 3,700 crore by the highlighting individual benefits and you may gives and you may subsidies because the equity funding and you can in addition to lso are-appreciated home property off Rs 4,900 crore whoever possession wasn’t vested on two successor entities.
New CAG statement told you the official procurement businesses (SPAs) showed Rs 16,350 crore while the recoverable, of which Rs eleven,400 crore was actually licensed as skeptical. Also, there can be a great mismatch of Rs 21,000 crore involving the a fantastic CC maximum and you may stock out-of foodgrains held by these types of organizations.
Test consider of one’s ideas out-of 281 practices of sales income tax/value added income tax, state excise, motor vehicles, goods and travelers, tree receipts or any other departmental workplaces presented of the CAG demonstrated around evaluation/brief levy/death of funds aggregating Rs dos,five-hundred crore in more than thirty five,100000 times. The fresh departments was able to recover only Rs crore.
Aside from the state of the newest cash, the brand new accounts create on Tuesday and additionally discussed multiple instances of misappropriation out-of funds value crores regarding rupees, besides showing brand new faltering fiscal wellness of one’s social field systems.
