Assam govt’s 2021-22 budget unrealistic, overestimated: CAG

Guwahati, Apr 6 (PTI) The Comptroller and Auditor General (CAG) of India on Thursday termed the Assam government’s budget for 2021-22 as “unrealistic and overestimated”, and asked it to formulate expenses based on “reliable assumptions”.

The CAG also pointed to the increasing growth rate of the state’s public debt and recommended that it reduces revenue expenditure.

In the State Finances Audit Report for the year ended March 31, 2022′ tabled in the state assembly, the CAG said the actual receipts for the year were Rs 99,548.83 crore against the estimation of Rs 1,19,423.05 crore by the state government.

This restricted the expenditure to Rs 1,07,814.62 crore against estimated spending of Rs 1,36,554.69 crore.

Dubbing the budgetary assumptions as “unrealistic and overestimated”, the auditor said the state government should formulate a realistic budget based on reliable assumptions of likely resource mobilisation, the needs of the departments and their capacity to utilise the allocated resources so as to “avoid inflated budget without actual resources”.

It said Assam’s outstanding debt “rapidly increased” from Rs 49,274.88 crore in 2017-18 to Rs 99,918.54 crore in 2021-22.

“In view of the increasing growth rate of its public debt, the state government may make efforts to augment its own revenues and reduce its revenue expenditure so as to avoid pressure on repayment of public debt and interest liabilities,” the CAG report said.