Andhra Pradesh presented nearly Rs 1.57 lakh crore budget for 2017-18 on Wednesday, the first, after moving the state capital from Hyderabad to Amaravati.
Finance Minister Y Ramakrishnudu proposed total expenditure at 1.57 lakh crore, an increase of 15.71% over the previous year.
This comprised revenue expenditure of Rs 1.26 lakh crore and capital expenditure of Rs 31,087 crore.
The estimated revenue deficit is around Rs 416 crore and the fiscal deficit is estimated at around Rs 23,054 crore, 0.05% and 3% of the Gross State Domestic Product (GSDP) respectively.
"Our economy is growing at an unprecedentedly impressive rate and is amongst the top performers in the country. This budget is a reflection of the commitments of our Government for the realisation of the goals enshrined in Vision 2029," Ramakrishnudu said, as he began his speech.
Speaking about shifting the state's capital, and holding the session for the first time in a new Assembly building, the Finance Minister said, "I feel extremely privileged to be a part of this momentous occasion of bringing back legislative power to the historical city of Amaravati after nearly 2000 years."
The budget allocated Rs 1,061 crore for the development of the new state capital.
The minister assured that funds will not be a constraint in giving shape to dream capital, which will serve as a model for the country.
Ramakrishnudu pointed out that as per advanced estimates, the state could successfully post a healthy growth of 11.61%. Under Vision 2029, the state is targeting a growth rate of 12% every year.
He admitted that shifting the state capital and "the unforeseen consequences of demonetisation put tremendous stress on the financial resources of the state" during 2016-17.
"Further, migration to GST regime is expected to negatively impact the growth of state resources in the short term," he said.
Claiming that the people took hardships caused by demonetisation in their stride, he said Andhra Pradesh was leading the country in adopting digital payment methods.
The state allocated Rs 9,091 crore constituting 5.79% of total budgetary allocation to agriculture and allied sectors, Rs 19,565 crore to rural development which is 12.46% of total budgetary allocation, and Rs 12,770 crore to irrigation sector comprising 8.13 of total budgetary allocation.
He was confident these allocations will revitalise the rural economy.
The budget has provided Rs 3,600 crore for waiver of farm loans. The state has so far provided Rs 11,000 crore for the scheme.
Agriculture Minister P. Pulla Rao later presented a separate budget for agriculture.
The Finance Minister proposed Rs 7,021 crore for health and family welfare, an increase of 15% over previous year.
The allocation for industries department has been hiked by 113% to Rs 2,086 crore.
He proposed Rs 20,384 crore for general education and Rs 765 crore for technical education. He allocated Rs 11,361 crore for welfare.
IANS inputs