The Gross State Domestic Product (GSDP) of Meghalaya is estimated at Rs 41,779 crore for the current financial year. For the next financial year, the GSDP is expected to increase to Rs 46,600 crore, an expected growth rate of 11.5 per cent.
Presenting the budget for 2023-24 in the Assembly today, Chief Minister Conrad Sangma said that the share of central taxes is the most important component of the receipts for the State government.
The revised estimate for the share of central taxes for the current financial year is projected at Rs 7,386 crore. This is about 18 per cent higher than the budgetary estimates of Rs 6,264 crore.
“The total central transfers for the current financial year are expected at Rs 8,706 crore including the Finance Commission devolutions and other transfers from the Centre while excluding scheme-related transfers. These increased transfers are consistent with the country’s growth rates and improved tax collections. In the financial year 2023-24, I am estimating the share of central taxes at Rs 7,834 crore and a total amount of Rs 8,908 crore as central transfers,” Sangma said.
He also informed that the Union Finance Minister has enhanced the size of the ‘Scheme for Special Assistance to States for Capital Investment’ to spur investment in infrastructure.
“For the current financial year, we have already drawn our share of Rs 742 crore and invested in critical capital projects. Given our effective utilisation, we were allocated an extra Rs 307 crore by the Union government, taking our total allocation to Rs 1,049 crore for 2022-23. For 2023-24, I am estimating the allocation under this important scheme to be Rs 1,003 crore,” Sangma said.
The chief minister also said that the State’s own-tax and non-tax revenues have also been increasing steadily. As per the revised estimates for the current financial year, the own-tax revenue will reach Rs 2,636 crore.
“For 2023-24, I am estimating our own tax revenue to increase by about 22 per cent to reach Rs 3,205 crore. This includes Rs 1,785 crore as GST, Rs 792 crore as taxes on sales and trade and Rs 413 crore as excise,” he said.
Sangma also said that the State’s own non-tax revenue for the current financial year is expected to reach Rs 590 crore. This is an increase of 12.5 per cent over the previous year’s collections of Rs 525 crore.
“For 2023-24, I am expecting the State’s own non-tax revenue to further increase by about 26 per cent to reach Rs 742 crore. The process of obtaining mining leases for starting scientific mining from the Union Ministry of Coal is at an advanced stage,” he added.
Sangma estimated the total expenditure for 2023-24 at Rs 22,022 crore. This comprises Rs 17,186 crore of revenue expenditure and Rs 4,836 crore of capital expenditure.
He also announced that the projected capital outlay for 2023-24 is an increase of 14 per cent over the year 2022-23 and 38.5 per cent over the year 2021-22.
“This substantial increase in capital expenditure will be the foundation for the projected increase in economic growth,” Sangma said.
