Outstanding liabilities amount to Rs. 46,940 crore in 2004-05
CAG report tabled in Legislative AssemblyInterest payments up from Rs. 2,388 crore in 2000-01 to Rs. 3,794 crore in 2004-05Revenue receipts increased from Rs. 14,823 crore to Rs. 26,163 crore during the period
BANGALORE: The outstanding liabilities of the State increased by 77 per cent from Rs. 26,571 crore in 2000-01 to Rs. 46,940 crore in 2004-05.
A report of the Comptroller and Auditor General of India (Civil) for the year that ended on March 31, 2005, tabled in the Legislative Assembly, says that the ratio of fiscal liabilities to the Gross State Domestic Product increased from 25 per cent to 32 per cent between 2000-01 and 2004-05. The amount guaranteed by the Government on behalf of statutory corporations and government companies was Rs. 11,574 crore as on March 31, 2005.
Interest payments increased from Rs. 2,388 crore in 2000-01 to Rs. 3,794 crore in 2004-05 and constituted 15 per cent of the revenue receipts. Revenue receipts increased from Rs. 14,823 crore to Rs. 26,163 crore during the period. The share of tax revenue (Rs. 15,769 crore) and non-tax revenue (Rs. 4,369 crore) in total revenue receipts was 60 per cent and 17 per cent respectively in 2004-05, the report says. Arrears of revenue increased to Rs. 3,604 crore up to March 2005.
The State's fiscal deficit was the lowest at Rs. 3,600 crore during 2000-05. The year 2004-05 ended with a revenue surplus of Rs. 1,640 crore due to healthy growth of revenue receipts as also due to transfer of funds to local (panchayat) bodies (Rs. 887 crore) and interest component relating to repayment of the house building advance (Rs. 13 crore) to the Revenue Account from the Public Account and loans and advances respectively, the report says.
The audit review has disclosed that execution of the National Highways Project in the State lacked proper prioritisation. The designed life of roads was unrealistic leading to premature failures. Inadequate survey, investigation and estimation of the projects resulted in cost and time overruns. Non-adherence to specifications resulted in unjustified expenditure of Rs. 9.63 crore.