Breaking Records: Bihar Unveils Rs 2.79 Trillion Budget for Growth

In Patna, the Bihar administration, under the leadership of Nitish Kumar, laid out an extensive budget of Rs 2.79 lakh crore on Tuesday, asserting the fiscal robustness of the state with a growth rate surpassing 10 percent, the apex figure in the nation.

During the budget presentation in the state assembly, Deputy Chief Minister Samrat Choudhary, adorned with the finance portfolio, accentuated the state’s pride in achieving a growth rate of “10.64 percent,” notably eclipsing the national average. He emphasized the government’s dedication to the comprehensive progress of Bihar, proudly proclaiming the rescue of 2.5 crore individuals from the clutches of poverty in the ongoing fiscal year.

Choudhary, amidst a clamor initiated by opposition members, who tumultuously entered the well and subsequently orchestrated a walkout, vociferously chanted slogans such as “palturam hosh mein aao” (Mr. turncoat, come back to your senses). It’s noteworthy that the budget presentation unfolded a day after Chief Minister Nitish Kumar, forsaking the RJD-led ‘Mahagathbandhan,’ rejoined the BJP-led NDA and secured a vote of confidence.

Enumerating the state’s noteworthy accomplishments, Choudhary underscored a substantial decrease in maternal mortality by an impressive 47 percent. The budget estimate for the upcoming fiscal year amounted to Rs 2,78,725.72 crore, signifying a notable increment of Rs 16,840 crore compared to the current financial year.

Among the aggregate expenditure, a substantial Rs one lakh crore was allocated for the annual scheme outlay, with the education department claiming the lion’s share (22.20 percent), followed by rural development (13.84 percent). Health expenditure was earmarked at 7.41 percent of the annual scheme outlay, while 1.88 percent was allocated for the welfare of backward classes and most backward classes.

While the budget document proclaimed the fiscal well-being of the state, it conceded that the fiscal deficit, standing at 5.97 percent of the GSDP, exceeded the stipulated threshold of 3.5 percent. Nevertheless, projections for the next fiscal year anticipate a resurgence of revenue surplus and containment of the fiscal deficit at 2.98 percent of the state GDP, aligning with the FRBM limits of three percent. The Fiscal Responsibility and Budget Management (FRBM) Act of 2003 delineates targets for the government to institute financial discipline in the economy.