Telangana Govt in a fix over budget preps
Hyderabad is gearing up for the commencement of budget preparations for the 2024-2025 financial year, which is set to begin on Thursday. However, the State Government finds itself in a dilemma as it contemplates incorporating new incentives in the budget proposals that may potentially breach the election code, scheduled to be announced in the first half of February.
The government had intended to unveil a series of incentives, supplementing the existing six Guarantees, which include an increase in the Rythu Bandhu incentive, a monthly financial assistance of Rs 2,500 to women, 200 units of free power for the economically disadvantaged, Indiramma houses, and the commitment to create two lakh jobs by December 2024.
Official sources reveal that all departments have been instructed to submit proposals for allocations along with details of expenditures incurred in the ongoing financial year. Interestingly, the practice of holding meetings with various departments to finalize budget estimations, discontinued five years ago, has been reinstated by the state government in its effort to prepare a pragmatic budget for the upcoming financial year.
The government refrained from presenting any wishlist to the Centre, considering the impending presentation of the vote-on-account in the Lok Sabha during the February election period. Sources indicate that the government is seeking guidance from legal and election experts regarding the budget presentation. With preparatory meetings continuing until the end of January, the likelihood of presenting the budget in the first week of February appears slim.
Concerns arise as it is anticipated that the election notification may be issued soon after the conclusion of the Lok Sabha vote-on-account session on February 9, triggering the enforcement of the election code. In such a scenario, the government would be precluded from making any announcements of new incentives or budget allocations. A final decision on the budget presentation dates is expected after Chief Minister A Revanth Reddy returns from his visit to Davos.
