Tuesday, 12 July 2016

TS & AP Budgets in Doldrums

Prior to bifurcation in 2014, Andhra Pradesh budget was about Rs.100,000 crores. After bifurcation Telangana (TRS and KCR) were under celebration spree and spent public money like water. In AP, TDP and Chandrababu Naidu were jubilant regaining power after 10 years, even though in the truncated state of AP, spent public money extravagantly for swearing in ceremony etc. Of course AP expenditure increased for identifying capital, it's design and many other expenses. However, there was no justification for wasteful expenditure in both the Telugu states.


The 2015 budget for AP has inflated figures to over Rs.100,000 crores and not to be left behind TS also inflated its budget to over Rs.100,000 crores. Ironically, year end figures fell short by over 30%. Not learning lesson, both the state's presented 2016 budgets inflated to Rs.130,000 crores.

Budgets exceeding realistic revenues have wide ranging negative effects. Departments, with approved budgets starts various projects/schemes but will fail to get money released in time and make timely payments losing credibility apart from time & cost over runs. The recent strike by network hospitals of 'Arogyasri' to recover their Rs.350 crores dues is a classic example. Fiscal discipline by states is paramount otherwise suppliers and creditors will insist on letter of credit for executing state government orders. Deviations in budgets and actual figures must be viewed seriously and accountability fixed on the people responsible for the fiasco.

CM & Ministers must stop using their executive powers indiscriminately. No expenditure should be allowed without legislature sanction. There is no such contingency, other than managing after effects of natural calamities, which can't be planned and prior budget approval obtained.

Politicians holding responsible government positions should be debarred making irresponsible, fancy and whimsical statements without completing groundwork.

With AP shifting its capital to Amaravati, TS secretariat now has 10 lakh sft against its its present occupation of 4 lakh sft. Other than some modifications here and there, there is no need to waste few hundreds of crores of rupees to demolish and reconstruct new secretariat, citing vaasthu defects. Vaasthu, poojas & religion are personal beliefs and there is no place in government's activities, in a democratic and secular India.

In TS, KCR unveiled so many fancy projects completion of which requires several lakhs of crores and nothing much has happened on the ground. In AP, except Pattiseema LI project, Capital shifting and Amaravati's some progress, rest is ditto. This is not what is expected by Telugu people in both the states.

See the simplicity of Prime Minister of Singapore during Narendra Modi's recent visit.
After speaking at the 37th Singapore Lecture at the Shangri-La on Monday (Nov 23, 2015), Mr Modi was taken on an impromptu tour of Singapore by PM Lee and Madam Ho Ching shared a meal at Komala Vilas, the popular vegetarian restaurant located at Upper Serangoon Road.
Business went on as usual on the restaurant's second floor, but the first floor was occupied only by Mr Modi, Mr Lee and Ms Ho during the meal due to security concerns. They were served idli, vadai and the restaurant's famous onion and masala thosai and accompanied by traditional Indian drinks - sweet yoghurt lassi, mango lassi and lime juice. Total bill might not exceed Singapore $ 100.

When will our leaders learn that simplicity is the greatest ornament.
One will always be remembered for simplicity and never for extravaganza.

Also we have a jewel in Indian Politics Mr.Manik Sarkar, CM of Tripura since 1998 known for his simple living and honesty.

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