Zeliang presents 2016-17 budget

Presenting a full budget for the first time after NITI Aayog replaced the Planning Commission, the Zeliang estimated the gross receipt for 2016-17 at Rs. 13,870.98 crores and gross expenditure at Rs. 13,645.98 crores. 

The chief minister also informed that as the government close the first year of the 14th FC award period, he said the state must acknowledge that it was certainly better and more realistic as compared to the awards of the 13th Finance Commission (FC) as the 13th FC period ended a huge deficit of Rs. 1542.71 crores which resulted the state to begin the current financial year with serious cash management problems.

However he said despite of huge deficit he said much has been able to avert a severe financial crisis so far and have managed to disburse all normal recurring expenditures such as salaries, pensions, medical reimbursement and others except for those employees appointed under CSS and flagship programmes, mainly on account of non-receipt of funds from the Center. 

He said the government also managed to release and clear almost all the proposals kept in Civil Deposit and backlogs during the year.

He said with better monitoring and control in place and also with the various austerity measures being worked out, he hoped to reduce the deficit by Rs. 225 crores by the end of the 2016-17. However he added that this would be subjected to the Government of India providing in the grant under share of central taxes as projected in the budget for 2016-17 at the level of Rs. 3016.31 Crores.

Zeliang further stated that as an austerity measure, the cabinet ministers, parliamentary secretaries and senior officers has voluntarily decided to forego the allowances of refreshment, newspapers, magazines and other allowances. 

He informed that government further intends to bring down the overhead expenditures with the measures like departments having excess employees shall not be allowed to recruit new employees even against the resultant vacancies as was done in the department of school education, rationalization of man power management and relocation of employees from the departments that have surplus to departments that require more manpower. 

He asked the government employees to avail lave encashment otherwise payment of leave encashment would be stopped as government pays Rs. 85 crores annually for leave encashment to retired employees.

The deficit faced by the state has been hovering around the Rs.1000 crore figure, where Nagaland could not provide 10% of its share for central projects. Assembly Speaker Chotisuh informed that discussion on the budget would be held on March 18.