Bhubaneswar, March 18: The state government has claimed that the plan expenditure during the fist three quarters of the current year has gone up compared to the previous year despite a shortfall in central assistance.
"The state plan has been Rs 24,761.23 crore during first three quarters of the current fiscal, compared Rs 19,381.22 crore spent during the corresponding period of the previous year, which accounts for about 28 per cent," said finance minister Pradip Kumar Amat in his budget speech today.
Amat said there has been a considerable reduction in central assistance for the state plan. Similarly, the share in central taxes for Odisha in terms of the revised estimates of the Union budget is much lower than the 14th Finance Commission reward.
Besides, the compensation for the phasing out of the central sales tax has not been received in time during the year.
"All these factors have affected the central transfer during 2015-16 which constitute more than 50 per cent of our total revenue receipt," Amat said.
There has also been a compositional shift in the central transfers. While the tax devolution has increased, the plan grants have declined.
"It is a net loss to the state," said Amat, stating that the state government had been repeatedly asking the central government to compensate it on this account at the earliest.