Mizoram CM presents zero-deficit budget with focus on fiscal health

Aizawl: Mizoram Chief Minister Lalduhoma presented the first annual budget of the Zoram People's Movement (ZPM) government on Tuesday.

The budget for the fiscal year 2024-25 has a total outlay of Rs. 14,412.12 crore, which is Rs. 202.17 crore higher than the previous year's estimate. It is a zero-deficit, non-surplus budget with a focus on fiscal consolidation.

Advertisement

Key Highlights:

• No new taxes: The budget proposes no increase in existing taxes or introduction of new ones.
• Reduced fiscal deficit: The government aims to decrease public debt by Rs. 697.69 crore.
• Increased revenue: The State's Own Tax Revenue (SORT) and State's Own Non-tax Revenue (SONTR) are expected to rise by 21% and 25% respectively.
• Focus on development: Rs. 8,247 crore, or 57.22% of the total budget, is allocated for development expenditure, primarily in social and economic sectors.
• "Bana Kaih" policy: Rs. 200 crore is set aside for this flagship program aimed at empowering various sectors, including agriculture, entrepreneurship, and skill development.
• Increased social spending: The budget allocates Rs. 4,967.09 crore to the social service sector, including an increase in state contribution to the Old Age Pension scheme.
• Infrastructure development: Rs. 100 crore is earmarked for strengthening and improving roads and bridges, with Rs. 20.13 crore allocated for improving power generation and supply.
• New initiatives: The government introduced a free mortuary van service to support citizens, particularly the underprivileged, with Rs. 5 crore allocated for this purpose.

Additional details:

• The budget prioritizes prudent financial management to improve the state's fiscal health.
• The government will focus on completing centrally funded projects due to budget constraints.
• A marginal increase in revenue expenditure is expected due to factors like salary hikes and increased costs for utilities and public services.
• The total projected liabilities are estimated at Rs. 14,034.76 crore, which is 29.22% of the projected Gross State Domestic Product (GSDP).
• The government emphasizes combating social issues like drug menace, alcoholism, and juvenile delinquency through collaboration with civil societies.