Morung Express News
Kohima | March 18
The fiscal position of Nagaland state during 2011-12 fiscal year has shown that the State’s revenue surplus declined by Rs. 101. 43 crore, while the fiscal deficit increased by Rs.226.38 crore.
According to the Report of Comptroller & Auditor General on ‘State finances’ for the year ended March 2012, the primary surplus had also turned into primary deficit by a margin of Rs. 203.32 crore in 2011-12 relative to the previous year.
The fiscal deficit increased due to combined effect of increase in capital expenditure and decrease in revenue surplus and as a result, the primary surplus turned into primary deficit, the report stated.
During 2011-12, 90 percent of the state’s total revenue came from Government of India as Central transfers (14 percent) and grants-in-aid (76 percent). The state however, achieved the total revenue collection target fixed by the 13th Finance Commission during 2011-12. The overall revenue expenditure of the state increased by Rs.687.59 crore (16.42 percent) over the previous year.
During 2011-12, non-plan revenue expenditure was Rs, 1458. 47crore. This is 56.23 percent more than the 13th Finance Commission normative assessment. The expenditure on salary was 59.01 percent of revenue expenditure, net of interest payment and pension and 40.89 percent of revenue receipts during the year, CAG report stated.
The report also revealed that the overall fiscal liabilities of the state increased at a compound annual growth rate of 11.34 percent during 2011-12. The fiscal liabilities increased by Rs. 866 crore (15 percent) from Rs.5773 crore in 2010-11 to Rs. 6639 crore in 2011-12. The committed liabilities for the state projected by 13th FC was 55.80 percent of GSDP for the year 2011-12, the report stated.
The state government’s net cash balance at the end of 2011-12 was Rs.328.19 crore, which had increased by Rs.228.11 over the previous year. Interest received on investment of cash balance during 2011-12 was 1.53 percent.
The report also stated that there were 138 incomplete projects as on March 31, 2012, pertaining to 18 departments. Out of 138 incomplete projects, 57 projects were to be completed by March 2012 in which Rs. 326.31 crore were blocked.
With regard to investment, CAG disclosed that the government had invested Rs. 228.01 crore in statutory corporations, rural banks, joint stock companies and co-operatives at the end of March 31. However, the average returns on this investment was nil during the last five years.
