Finance Minister Yanamala Ramakrishnudu has set the tone for budget preparation for 2014-15 by directing the departments to go for a need based and realistic budget.
Though the State was going through difficult times, priority should be given to all the ongoing welfare schemes by reorienting the focus on certain overheads, he said in budget preparation meetings which commenced here on Tuesday.
Mr. Ramakrishnudu who held meetings with the officials of Education, Health, Agriculture and allied sectors and Food and Civil Supplies throughout the day spelt out priority areas in each department. For instance, strengthening the primary health centres in the Health Department would be the priority to improve rural health care. In education, the primary education and residential schools would be given emphasis.
The Finance Minister advised the department officials to curtail non-plan expenditure by scrutinising and reducing the revenue expenditure so as to bring down the revenue deficit, a major concern for the State post bifurcation.
The contribution of agriculture- though the most important sector with 70 per cent of people depending on it- was below 20 per cent of GSDP and the growth rate at about three to four per cent, the Minister noted. But for overall stability in economy, agriculture sector would have to be stable, he added.
In the State, paddy accounted for 40 per cent of agricultural produce. In a year when paddy cultivation and yield was affected due to adverse climate, it would lead to economic distress. And to counter that allied sectors like dairy farming, fisheries etc., be encouraged in a big way to provide the needed cushion in a bad year, he said.
Officials said that the budget meetings to continue for a week. The exercise would enable the departments to present their proposals to the Finance Minister and his policy guidance would help them tweak their proposals keeping in view the acute shortage of resources without compromising on the welfare and development programmes.