Yogi Adityanath forms panel to generate resources to fund development projects
State finance minister Rajesh Agarwal will head the committee that will have economists and experts from various fields as its members.Updated: Apr 19, 2017 12:48 IST
The Uttar Pradesh government led by chief minister Yogi Adityanath has constituted a committee to suggest steps for mobilisation of additional resources to fund development projects in view of rising expenditure and increasing debt.
State finance minister Rajesh Agarwal will head the committee that will have economists and experts from various fields as its members.
Another committee, to be headed by the finance minister, will be constituted to suggest measures to check tax evasion.
Chief minister Yogi Adityanath issued directives for the constitution of the committees during the presentation made at a high-level meeting on Tuesday evening.
“The committees will recommend steps to be taken by the government to augment revenue,” said Agarwal.
The CM said the chief secretary should review the realisation of tax and non-tax revenue to ensure there was no shortfall.
The state government will have to mobilise additional resources to fund development projects and implement the promises that the BJP made ahead of the 2017 assembly election.
The BJP government’s decision to waive loans of small and marginal farmers and implement the recommendations of the seventh pay commission has put an additional burden on the already strained exchequer.
The state government will have to bear an additional burden of Rs 36,359 crore for loan waiver. It has decided to float Kisan Rahat Bonds to mobilise funds for loan waiver.
The total debt of Uttar Pradesh has reached Rs 3,75,049.45 crore as on March 31, 2017 and more borrowings may push the state further in the debt trap.
The state government will require additional funds to the tune of Rs 30,000 crore in 2017-2018 to clear arrears and pay increased salaries as per the recommendations of the seventh pay commission.
The CM has also asked the state finance department to discontinue schemes that were similar to the ones being run by the central government.
“Only central government schemes will be run for the benefit of the people,” the CM said. He also issued directives to constitute a task force to rein in land mafia and remove encroachments on government lands.
First Published: Apr 19, 2017 12:48 IST