The Finance Minister, Mr. Buggana Rajendranath, presented the Budget for Andhra Pradesh for the financial year 2020-21 on June 16, 2020.

Budget Highlights

  • The Gross State Domestic Product of Andhra Pradesh for 2019-20 (at current prices) is projected to be Rs 9,72,782 crore.[1]  This is 12.7% higher than the GSDP estimate for 2018-19 (Rs 8,62,957 crore).  
     
  • Total expenditure for 2020-21 is estimated to be Rs 2,24,789 crore, a 28.6% increase over the revised estimates of 2019-20.  In 2019-20, as per the revised estimate, total expenditure is estimated to decrease by 23.3% (Rs 53,218 crore) from the budget estimate. 
     
  • Total receipts (excluding borrowings) for 2020-21 are estimated to be Rs 1,62,558 crore, an increase of 41.1% as compared to the revised estimate of 2019-20.   In 2019-20, total receipts (excluding borrowings) are estimated to fall short of the budgeted estimate by Rs 64,071 crore (by 35.7% of the budgeted estimate). 
     
  • Revenue deficit for 2020-21 is targeted at Rs 18,434 crore or 1.82% of the Gross State Domestic Product (GSDP).  Fiscal deficit is targeted at Rs 48,296 crore (4.78% of GSDP).  In 2019-20, Andhra Pradesh is estimated to observe a revenue deficit of 2.47% of GSDP against a budget target of 0.16% of GSDP.  Fiscal deficit is estimated to increase from the budgeted 3.26% of GSDP to 3.75% of GSDP in 2019-20.

Policy Highlights

  • Income support for women:  The YSR Cheyutha scheme will provide financial assistance of Rs 18,750 per year to women of SC, ST, BC, and minority communities for four years starting from 2020-21.  Rs 3,000 crore has been allocated for this scheme.
     
  • Income support for street hawkers and vendors: The Jagananna Thodu scheme will provide financial assistance of Rs 10,000 to street hawkers and vendors who belong to the poorest of poor category.
     
  • Agri Testing Labs:  The state government will set up 160 Dr. YSR Agri Testing Labs across the state. These labs will provide the facility for testing of seeds, pesticides, and fertilizers. 
  • Multi-speciality hospitals: The state government has proposed to set up six multi-speciality hospitals at Seethampeta, Parvatipuram, Rampachodavaram, Chintoor, K R Puram, and Srisailam.

Andhra Pradesh’s Economy

  • GSDP:  The growth rate of Andhra Pradesh’s GSDP (at constant prices) was 4.4% in 2018-19.
     
  • Sectors:  In 2018-19, agriculture, manufacturing, and services sectors contributed to 34%, 23% and 43% of the economy.  These sectors grew by 2.9%, 0.8%, and 6.6%, respectively.
     
  • Per capita GSDP:  The per capita GSDP of Andhra Pradesh in 2018-19 (at current prices) was Rs 1,68,083, 8% higher than the corresponding figure in 2017-18.
     
  • Unemployment: According to the Periodic Labour Force Survey (2017- 18), the unemployment rate in Andhra Pradesh in 2017-18 was 4.5%, as compared to 6.1% in the country.

Figure 1: Growth in GSDP and sectors in Andhra Pradesh at constant (2011-12) prices

 image

Sources: MOSPI; PRS.

Note: These numbers are as per constant prices (2011-12) which implies that the growth rate is adjusted for inflation.

Budget Estimates for 2020-21

  • The total expenditure in 2020-21 is targeted at Rs 2,24,789 crore.  This is 28.6% higher than the revised estimates of 2019-20.   This expenditure is proposed to be met through receipts (other than borrowings) of Rs 1,62,558 crore and borrowings of Rs 60,258 crore.  Total receipts for 2020-21 (other than borrowings) are expected to be 41.1% higher than the revised estimate of 2019-20.
     
  • As per the revised estimates of 2019-20, the receipts (other than borrowings) is estimated to reduce by 35.7% over the budget estimates.  The total expenditure is estimated to decrease by 23.3% from budget to revised stage in 2019-20.  The borrowing in 2019-20 is estimated to increase by 10.2% from budget to revised stage.
     
  • In 2019-20, revenue deficit is estimated to be Rs 26,647 crore at the revised stage as compared to Rs 1,779 crore at the budget stage.  Revenue deficit in 2020-21 is estimated to be Rs 18,434 crore.  In 2019-20, fiscal deficit is estimated to increase by 14.8% from budget to revised stage.  Fiscal deficit for 2020-21 is 19.3% higher than the revised estimates for 2019-20.

Table 1: Budget 2020-21 - Key figures (in Rs crore)

Items

2018-19 Actuals

2019-20 BE

2019-20 

RE

% change from BE 2019-20 to RE 2019-20

2020-21 BE

% change from RE 2019-20 to BE 2020-21

Total Expenditure

          1,63,960 

    2,27,975 

      1,74,757 

-23.3%

     2,24,789 

28.6%

A. Receipts (except borrowings)

          1,14,948 

    1,79,297 

      1,15,226 

-35.7%

     1,62,558 

41.1%

B. Borrowings

            38,251 

      46,921 

       51,687 

10.2%

      60,258 

16.6%

Total Receipts (A+B)

          1,53,199 

    2,26,218 

      1,66,914 

-26.2%

     2,22,816 

33.5%

Revenue Deficit

            13,899 

       1,779 

       26,647 

1,398.3%

      18,434 

-30.8%

As % of GSDP

1.51%

0.16%

2.47%

 

1.82%

 

Fiscal Deficit

            35,441 

      35,261 

       40,493 

14.8%

      48,296 

19.3%

As % of GSDP

3.86%

3.26%

3.75%

 

4.78%

 

Primary Deficit

            20,099 

      18,017 

       24,101 

33.8%

      27,912 

15.8%

As % of GSDP

2.19%

1.67%

2.23%

 

2.76%

 

Note: BE is Budget Estimates; RE is Revised Estimates.  GSDP values have been calculated using outstanding liabilities as a percentage of GSDP figures given in Andhra Pradesh Budget in Brief 2020-21.  Capital receipts in the Budget in Brief document is inclusive of public account receipts. The number in the above table has been computed after excluding public account receipts.

Sources: Andhra Pradesh Budget Documents 2020-21; PRS.

Expenditure in 2020-21

  • Capital expenditure for 2020-21 is proposed to be Rs 44,397 crore, which is an increase of 19.2% over the revised estimates of 2019-20.  Capital expenditure includes expenditure affecting the assets and liabilities of the state, such as: (i) capital outlay, i.e. expenditure which leads to the creation of assets (such as bridges and hospitals), and (ii) repayment and grant of loans by the state government.  
     
  • Andhra Pradesh’s capital outlay for 2020-21 is estimated to be Rs 29,908 crore, which is 132.8% higher than the revised estimates of 2019-20.   The revised estimate for capital outlay in 2019-20 is 60% lower as compared to the budget estimate.
     
  • Revenue expenditure for 2020-21 is proposed to be Rs 1,80,393 crore, which is an increase of 31% over revised estimates of 2019-20.  This expenditure includes the payment of salaries, interest, and subsidies.  

Table 2: Expenditure budget 2020-21 (in Rs crore)

Items

2018-19 Actuals

2019-20 

BE

2019-20 

RE

% change from BE 2019-20 to RE 2019-20

2020-21 

BE

% change from RE 2019-20 to BE 2020-21

Capital Expenditure

          35,390 

          47,499 

          37,239 

-21.6%

        44,397 

19.2%

of which Capital Outlay

          19,976 

          32,293 

          12,845 

-60.2%

        29,908 

132.8%

Revenue Expenditure

         1,28,569 

         1,80,476 

         1,37,518 

-23.8%

       1,80,393 

31.2%

Total Expenditure

         1,63,960 

         2,27,975 

         1,74,757 

-23.3%

       2,24,789 

28.6%

A. Debt Repayment

          13,545 

          13,417 

          19,035 

41.9%

        13,935 

-26.8%

B. Interest Payments

          15,342 

          17,244 

          16,393 

-4.9%

        20,383 

24.3%

Debt Servicing (A+B)

28,887

30,661

35,428

15.5%

34,318

-3.1%

Note: BE is Budget Estimates; RE is Revised Estimates.  Capital outlay denotes expenditure which leads to the creation of assets.

Sources: Andhra Pradesh Budget Documents 2020-21; PRS.  

Sector-wise expenditure in 2020-21

The sectors listed below account for 73% of the total expenditure by the state in 2020-21.  The expenditure on these sectors is estimated to increase by 54% in 2020-21 over the revised estimate of 2019-20.  However, the expenditure on these sectors in 2019-20 is estimated to be 35% lower than the budgeted estimate.  A comparison of Andhra Pradesh’s expenditure on key sectors with that by other states can be found in Annexure 1.

Table 3: Sector-wise expenditure under Andhra Pradesh Budget 2020-21 (in Rs crore)

Sector

2018-19 Actuals

2019-20 

BE

2019-20 

RE

2020-21 

BE

% change from 2019-20 RE to 2020-21 BE

Budget provisions for 2020-21

Welfare of SC, ST, OBC and Minorities

      5,591 

    14,088 

    28,313 

    41,430 

46%

  • Rs 16,000 crore has been allocated to the YSR Pension Kanuka Scheme.
     
  • Rs 6,300 crore has been allocated towards the YSR Aasara Scheme for loans to women cooperatives.
     
  • Rs 6,000 crore and Rs 3,009 crore has been allocated to the Jagananna Amma Vodi scheme and the Jagananna Vidya Deevena scheme, respectively.

Education, Sports, Arts, and Culture

   19,586 

    33,410 

   20,330 

    25,517 

26%

  • Rs 3,000 crore has been allocated towards Naadu-Nedu scheme for upgrading school facilities.  
     
  • Rs 1,937 crore has been allocated to Samagra Shiksha Abhiyaan.
     
  • Rs 975 crore and Rs 500 crore has been allocated towards the Jagananna Gorumudda scheme and the Jagananna Vidya Kanuka scheme, respectively.

Agriculture and allied activities

     8,766 

    20,558 

     6,912 

    13,563 

96%

  • Rs 3,615 crore has been allocated to the YSR Rythu Bharosa. Rs 3,000 crore has been allocated to the Price Stabilization Fund. 
     
  • Rs 1,100 crore has been allocated for providing interest subvention on farmer loans under YSR Interest-Free Loans to farmers.  Rs 500 crore has been allocated to Pradhan Mantri Fasal Bima Yojana.

Rural Development

     8,335 

    10,672 

     8,361 

    13,544 

62%

  • Rs 3,270 crore has been allocated towards the MGNREGS scheme.  
     
  • Rs 839 crore has been allocated towards the Pradhan Mantri Gram Sadak Yojana. 

Water Supply, Sanitation, Housing and Urban Development

    10,451 

    12,297 

     6,663 

    13,401 

101%

  • Rs 3,000 crore has been allocated towards YSR Gruha Vasathi.  Rs 2,540 crore and Rs 500 crore has been allocated towards PMAY-Urban and PMAY-Rural, respectively.  

Health and Family Welfare

     7,400 

    11,610 

     7,594 

    11,673 

54%

  • Rs 2,100 crore has been allocated towards the YSR Aarogyasri scheme for providing health insurance.
     
  • Rs 1,808 crore has been allocated towards National Health Mission. 
     
  • Rs 1,528 crore has been allocated towards the Naadu-Nedu scheme for upgradation of hospitals.

Irrigation and Flood Control

    13,988 

    12,712 

     4,941 

    11,358 

130%

  • Rs 1,349 crore will be spent on irrigation projects in Kadapa.

Social Welfare and Nutrition

    22,744 

    27,461 

     7,958 

    10,795 

36%

  • Rs 1,340 crore has been allocated towards the Integrated Child Development Services scheme. 
     
  • Rs 1,250 crore has been allocated towards YSR Sampoorna Poshana. Rs 163 crore has been allocated towards the National Nutrition Mission.

Energy

     1,903 

      6,623 

     6,860 

     6,796 

-1%

  • Rs 4,000 crore has been allocated towards Y.S.R Nine Hours Free Power Supply.  

Transport

      1,990 

      4,267 

      2,135 

      6,250 

193%

  • Rs 2,357 crore has been allocated towards capital outlay on roads and bridges.

% of total expenditure

68%

72%

67%

73%

 

 

Sources: Andhra Pradesh Budget Documents 2020-21; PRS.
 

Receipts in 2020-21

  • The total revenue receipts for 2020-21 are estimated to be Rs 1,61,959 crore, an increase of 46.1% over the revised estimates of 2019-20.  Of this, Rs 76,545 crore (47%) will be raised by the state through its own resources, and Rs 85,413 crore (53%) will come from the centre in the form of grants (33% of revenue receipts) and the state’s share in central taxes (20% of revenue receipts).
  • Devolution:  In 2020-21, receipts from the state’s share in central taxes are estimated to increase by 14.2% over the revised estimates of 2019-20.  However, as per the revised estimates of 2019-20, the receipts from the state’s share in central taxes is estimated to decrease by 19% as compared to the budget stage.   This may be due to a 19% cut in the union budget for devolution to states, from Rs 8,09,133 crore at the budget stage to Rs 6,56,046 crore at the revised stage.  Andhra Pradesh’s share in the centre’s tax revenue will decrease from 1.81% during the 2015-20 period to 1.69% for 2020-21 (a decrease of 7%) as per the recommendations of the 15th Finance Commission (Annexure 2).
  • Grants-in-aid: Grants-in-aid from the centre is estimated to be Rs 53,175 crore, a 143% increase over the revised estimates of 2019-20.  In 2019-20, as per the revised estimates, grants-in-aid is estimated to be 64% lower than budget estimates.
     
  • Tax Revenue:  Total own tax revenue of Andhra Pradesh is estimated to be Rs 70,679 crore in 2020-21, an increase of 23% over the revised estimates of the previous year.  In 2019-20, as per the revised estimates, state’s own tax revenue is estimated to be 23.8% less than the budget estimates.

Table 4: Break up of state government receipts (in Rs crore)

Items

2018-19 Actuals

2019-20 

BE

2019-20 

RE

% change from BE 2019-20 to RE 2019-20

2020-21 

BE

% change from RE 2019-20 to BE 2020-21

State's Own Tax

      58,107 

      75,438 

      57,447 

-23.8%

       70,679 

23.0%

State's Own Non-Tax

       4,396 

       7,355 

       3,324 

-54.8%

         5,866 

76.5%

Share in Central Taxes

      32,711 

      34,833 

      28,225 

-19.0%

       32,238 

14.2%

Grants-in-aid from Centre

      19,457 

      61,072 

      21,876 

-64.2%

       53,175 

143.1%

Total Revenue Receipts

    114,671 

    178,697 

    110,871 

-38.0%

      161,959 

46.1%

Borrowings

      38,251 

      46,921 

      51,687 

10.2%

       60,258 

16.6%

Other receipts

          277 

          600 

       4,355 

625.9%

            600 

-86.2%

Total Capital Receipts

      38,528 

      47,521 

      56,043 

17.9%

       60,858 

8.6%

Total Receipts

153,199

226,218

166,914

-26.2%

      222,816 

33.5%

Note: BE is Budget Estimates; RE is Revised Estimates.  

Sources: Andhra Pradesh Budget Documents 2020-21; PRS. 

  • In 2020-21, Sales Tax and VAT is estimated to be the largest source of own tax revenue (36.4% of total own tax revenue).  Sales Tax and VAT collection is estimated to increase by 21.2% over the revised estimates of the previous year.
     
  • In 2020-21, Andhra Pradesh is expected to generate Rs 25,604 crore through the levy of SGST, an increase of 26.6% over the revised estimates of 2019-20.  In 2019-20, SGST collection is estimated to decline by 25% over the budget estimates.
     
  • Rs 7,931 crore is estimated to come from state excise duty in 2020-21, an increase of 14.7% over the revised estimates of the previous year.

Table 5: Some of the major state’s own tax revenue sources (in Rs crore)

Head

2018-19 Actuals

2019-20 BE

2019-20
 RE

% change from BE 2019-20 to RE 2019-20

2020-21 BE

% change from RE 2019-20 to BE 2020-21

% of Revenue Receipts in 2020-21

Sales Tax and VAT

     21,914 

      28,000 

    21,238 

-24.2%

     25,743 

21.2%

15.9%

State GST

      20,611 

      27,000 

     20,227 

-25.1%

      25,604 

26.6%

15.8%

State Excise Duty

       6,220 

       8,518 

       6,915 

-18.8%

       7,931 

14.7%

4.9%

Stamps Duty and Registration Fees

       5,428 

       6,600 

       5,318 

-19.4%

       6,337 

19.1%

3.9%

Taxes on Vehicle

       3,341 

       4,000 

       3,279 

-18.0%

       4,463 

36.1%

2.8%

Land Revenue

            57 

          300 

            21 

-92.9%

            32 

50.2%

0.0%

Taxes and Duties on Electricity

            11 

          100 

            11 

-88.7%

            13 

17.3%

0.0%

Note: BE is Budget Estimates; RE is Revised Estimates.  

Sources: Andhra Pradesh Budget Documents 2020-21; PRS.

Deficits, Debts and FRBM Targets for 2020-21

The Andhra Pradesh Fiscal Responsibility and Budget Management (FRBM) Act, 2005 provides annual targets to progressively reduce the outstanding liabilities, revenue deficit and fiscal deficit of the state government.   

Revenue Balance:  It is the difference of revenue expenditure and revenue receipts.   A revenue deficit implies that the government needs to borrow to finance its expenses which do not create capital assets.  Once the revenue deficit is accounted for, only then the borrowings can be used for capital investments.  A revenue surplus implies that the revenue receipts of state are sufficient to meet the revenue expenditure requirements.  The 14th Finance Commission had recommended that states should eliminate revenue deficit.

The budget estimates a revenue deficit of Rs 18,434 crore (or 1.82% of GSDP) in 2020-21.  The 15th Finance Commission has recommended a revenue deficit grant of Rs 5,897 crore for Andhra Pradesh for 2020-21.

Fiscal deficit:  It is the excess of total expenditure over total receipts.  This gap is filled by borrowings by the government, and leads to an increase in total liabilities.  In 2020-21, the fiscal deficit is estimated to be Rs 48,296 crore (4.78% of GSDP).  The estimate is higher than the 3% limit as per the FRBM Act.

Given the situation due to COVID-19 pandemic, the central government has permitted increasing the fiscal deficit limit for a state from 3% to 5% in 2020-21.  This 5% includes an unconditional increase of the limits up to 3.5% of GSDP, followed by 0.25% increase each linked to reforms on: (i) universalisation of ‘one nation one ration card’, (ii) ease of doing business, (iii) power distribution and (iv) urban local body revenues.  An additional increase of 0.5% will be permitted if three out of four reforms are achieved.

As per the revised estimates, in 2019-20, the fiscal deficit of the state is expected to be 3.75% of GSDP, higher than the budget estimate at 3.26%.

Debt Servicing

In 2020-21, Andhra Pradesh is expected to spend Rs 34,318 crore on servicing its debt.  This is 3.1% less than the revised estimates of 2019-20.  This includes Rs 13,935 crore towards repaying loans (41% of total), and Rs 20,383 crore towards interest payments (59% of total).  

Outstanding liabilities:  Outstanding liabilities is the accumulation of borrowings over the years.  In 2020-21, the outstanding liabilities are expected to be 34.6% of the GSDP, higher than that in 2019-20 (28% of GSDP).  This is higher than the average level of outstanding liabilities of 29 states in 2019-20 (24.6% of their GSDP).  

Outstanding government guarantees: Outstanding liabilities of states do not include a few other liabilities that are contingent in nature, which states may have to honour in certain cases.  For example, state governments guarantee the borrowings of State Public Sector Enterprises (SPSEs) from financial institutions.  The total outstanding government guarantees of the state at the end of 2019-20 is estimated at Rs 67,171 crore (6% of GSDP). 

Table 6: Budget targets for deficits for Andhra Pradesh in 2020-21 (% of GSDP)

Year

Revenue Deficit

Fiscal Deficit

Outstanding Liabilities

2018-19

1.51%

3.86%

28.0%

2019-20 (BE)

0.16%

3.26%

27.0%

2019-20 (RE)

2.47%

3.75%

28.0%

2020-21 (BE)

1.82%

4.78%

34.6%

Note: GSDP values have been calculated using outstanding liabilities as a percentage of GSDP figures given in Andhra Pradesh Budget in Brief 2020-21. Outstanding liabilities include liabilities on public accounts.

Sources: Andhra Pradesh Budget Documents 2020-21; PRS.                                                         

Figure 2: Revenue and Fiscal Deficit (as % of GSDP) 

image

Sources: Andhra Pradesh Budget Documents; PRS.  

Figure 3: Outstanding liabilities targets (as % of GSDP)

image

Sources: Andhra Pradesh Budget Documents; PRS.  

Annexure 1:  Comparison of states’ expenditure on key sectors

The graphs below compare Andhra Pradesh’s expenditure on six key sectors as a proportion of its total expenditure on all sectors.  The average for a sector indicates the average expenditure in that sector by 29 states as per their budget estimates of 2019-20.[2]

  • Education:  Andhra Pradesh has allocated 12.1% of its total budget for education in 2020-21.  This is lower than the average expenditure (15.9%) allocated for education by states (using 2019-20 BE).
  • Health:  Andhra Pradesh has allocated 5.6% of its total budget on health, which is marginally higher than the average allocation for health by states (5.3%). 
     
  • Agriculture:  The state has allocated 6.4% of its total expenditure towards agriculture and allied activities.  This is lower than the average allocated by states (7.1%).
     
  • Rural development:  Andhra Pradesh has allocated 6.4% of its expenditure on rural development.  This is marginally higher than the average allocation for rural development by states (6.2%).
     
  • Roads and bridges:  Andhra Pradesh has allocated 1.3% of its total expenditure on roads and bridges, which is significantly lower than the average expenditure of 29 states (4.2%). 
     
  • Police:  Andhra Pradesh has allocated 2.5% of its total expenditure on police, which is lower than the average allocation for police by states (4.1%).

image

image

image

image

image

Note: 2018-19, 2019-20 (BE), 2019-20 (RE), and 2020-21 (BE) figures are for Andhra Pradesh.

Sources: Annual Financial Statement (2019-20 and 2020-21), various state budgets; PRS.

Annexure 2:  Recommendations of the 15th Finance Commission for 2020-21

The 15th Finance Commission’s (15th FC) report for the financial year 2020-21 was tabled in Parliament on February 1, 2020.  The 15th FC recommended a 41% share for states in the central government’s tax revenue in 2020-21, a 1% decrease from the 42% share recommended by the 14th FC (2015-20).  The 1% decrease is to provide funds to the newly formed union territories of Jammu and Kashmir, and Ladakh from the share of the central government.  The 15th FC also proposed revised criteria for determining the share of individual states.

Table 7 shows the share of states in the central government's tax revenue[3], as per the recommendations of the 14th FC for 2015-20 and the 15th FC for 2020-21.  The 15th FC has recommended a 1.69% share for Andhra Pradesh in the centre’s tax revenue for 2020-21 (a decrease of 7% over the 14th FC period).  This implies that out of every Rs 100 of centre’s tax revenue in 2020-21, Andhra Pradesh will receive Rs 1.69.  Table 7 also shows the estimated devolution to states by the centre for 2019-20 and 2020-21 (in Rs crore).

Table 7:  Share of states in centre’s tax revenue under the 14th and 15th Finance Commissions (2020-21)

State

Share of states in centre’s tax revenue

Devolution to states by the centre

14th FC (2015-20)

15th FC (2020-21)

% change

2019-20 RE

2020-21 BE

% change

Andhra Pradesh

1.81

1.69

-7%

28,242

32,238

14%

Arunachal Pradesh

0.58

0.72

24%

8,988

13,802

54%

Assam

1.39

1.28

-8%

21,721

24,553

13%

Bihar

4.06

4.13

2%

63,406

78,896

24%

Chhattisgarh

1.29

1.4

9%

20,206

26,803

33%

Goa

0.16

0.16

0%

2,480

3,027

22%

Gujarat

1.3

1.39

7%

20,232

26,646

32%

Haryana

0.46

0.44

-4%

7,112

8,485

19%

Himachal Pradesh

0.3

0.33

10%

4,678

6,266

34%

Jammu and Kashmir

0.78

-

-

12,171

-

-

Jharkhand

1.32

1.36

3%

20,593

25,980

26%

Karnataka

1.98

1.49

-25%

30,919

28,591

-8%

Kerala

1.05

0.8

-24%

16,401

15,237

-7%

Madhya Pradesh

3.17

3.23

2%

49,518

61,841

25%

Maharashtra

2.32

2.52

9%

36,220

48,109

33%

Manipur

0.26

0.29

12%

4,048

5,630

39%

Meghalaya

0.27

0.31

15%

4,212

5,999

42%

Mizoram

0.19

0.21

11%

3,018

3,968

31%

Nagaland

0.21

0.23

10%

3,267

4,493

38%

Odisha

1.95

1.9

-3%

30,453

36,300

19%

Punjab

0.66

0.73

11%

10,346

14,021

36%

Rajasthan

2.31

2.45

6%

36,049

46,886

30%

Sikkim

0.15

0.16

7%

2,408

3,043

26%

Tamil Nadu

1.69

1.72

2%

26,392

32,849

24%

Telangana

1.02

0.87

-15%

15,988

16,727

5%

Tripura

0.27

0.29

7%

4,212

5,560

32%

Uttar Pradesh

7.54

7.35

-3%

1,17,818

1,40,611

19%

Uttarakhand

0.44

0.45

2%

6,902

8,657

25%

West Bengal

3.08

3.08

0%

48,048

58,963

23%

Total 

42

41

-2%

6,56,046

7,84,181

20%

Sources:  Reports of 14th and 15th Finance Commissions (2020-21); Union Budget Documents 2020-21; PRS.

In addition, the 15th FC has also recommended certain grants-in-aid for various purposes for the year 2020-21.  These include: (i) Rs 74,341 crore as grants to states for eliminating revenue deficit, of which Andhra Pradesh will receive Rs 5,897 crore, (ii) Rs 90,000 crore as grants to local bodies, of which Andhra Pradesh will receive Rs 3,889 crore, and (iii) Rs 22,184 crore as the centre’s grants to disaster management, out of which Andhra Pradesh will receive Rs 1,119 crore.

 

[1] This GSDP number for 2019-20 is as per the Budget Speech for 2020-21.  For computing fiscal deficit, revenue deficit, and primary deficit as a percentage of GSDP for 2018-19, 2019-20, and 2020-21 everywhere in the document, GSDP values have been calculated using outstanding liabilities as a percentage of GSDP figures given in Andhra Pradesh Budget in Brief 2020-21.

[2] The 28 other states include all states except Manipur.  It includes the Union Territory of Delhi and erstwhile state of Jammu and Kashmir.

[3] This excludes the cess and surcharge revenue of the central government as it is outside the divisible pool and not shared with states.  As per the 2019-20 union budget, cess and surcharge revenue accounted for 15% of the estimated gross tax revenue of the central government.

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