"If we want to control the parameters, either revenue should increase, or overall expenditure should be cut down."

Andhras financial situation is under stress says state Finance Minister
news News Wednesday, June 21, 2017 - 09:30

Andhra Pradesh Finance Minister Yanamala Ramakrishnudu said that the state's financial condition was already under 'stress', in the first quarter of the financial year. 

He was addressing a press conference at the state's Secretariat in Velagapudi on Tuesday.

"If we want to control the parameters, either GSDP should increase, or revenue should increase, or overall expenditure should be cut down. Neither is happening," he said.

"The revenue of Stamps and Registrations increased a little bit, but it’s not up to the mark," he added.

The Hindu reported that the state had cleared bills worth Rs 49,000 crore and had to pay another Rs 10,000 crore in dues. 

The report also quoted Ramakrishnudu saying that the Ministers and Secretaries  would have to stick to the approved budget and spend accordingly, as additional funds could only be sanctioned at a later date. 

In April this year, the state said that it witnessed a revenue growth rate of 9.81% for the financial year of 2016-17, and added that it had officially generated Rs 46,285.30 crore, via its seven revenue earning departments.

The total revenue earned by the Commercial Tax department up to March, was Rs 33,566.65 crore, which was a growth rate of 12.29%, while Prohibition and Excise department achieved a growth rate of 5.88%, by earning Rs 4,644.45 crore during the same period.

Only two departments showed a negative growth rate. While one was the Department of Registration and Stamps, the other was the Forest Department.

While the former's growth rate fell by -4.01%, the Forest Department registered a negative growth rate of -49.29%.

Meanwhile, the state said that the total tax revenue for the year 2016-17 was Rs.44,055 crore, while non-tax revenue was Rs.5,046 crore.

Show us some love and support our journalism by becoming a TNM Member - Click here.