MVA tables supplementary demands worth `16,120 cr

Of the total, the Maha Vikas Aghadi government provided `4,500 crore as compensation to farmers affected by floods and `750 crore to help farmers hit by untimely rain

Maha Vikas Aghadi government on the first day of the winter session, on Monday, tabled the Rs 16,120 crore supplementary demands in the state legislature. Of the Rs 16,120 crore, the government provided Rs 4,500 crore as compensation to flood affected farmers, Rs 750 crore to help farmers hit by untimely rains in October, Rs 500 crore for the payment of premium installment by farmers in the Prime Minister Crop Insurance Scheme, and Rs 525 crore for disaster management.

Leader of opposition in the state assembly Devendra Fadnavis has criticised the government for inadequate fund allocation to help farmers hit by natural calamities. He wanted the government to keep its promise of providing complete loan waiver.

MVA government sources said that it has limited fiscal space especially with the fall in GST and other tax revenues and delays in the disbursement of GST and other tax dues by the Centre.

The BJP-led government, in its additional budget presented in June, had predicted a revenue deficit of Rs 20,700 crore by the end of 2019-20. The state public debt has soared to Rs 4.71 lakh crore and, after adding off budget borrowing of Rs 2 lakh crore by the state undertakings backed by their assets and government guarantee, the total debt is reported to be Rs 6.71 lakh crore.

MVA government sources admitted that the government will have to mop up at least Rs 20,000 crore to pay per hectare compensation of Rs 25,000 to farmers hit by unseasonal rains and about Rs 35,000 for complete loan waiver. The BJP-led government during its rule between 2014 and 2019 had set a record of sorts by tabling supplementary demands of over Rs 1.50 lakh crore. These demands were in addition to the budgetary allocation to meet revenue expenditure and help farmers affected by natural calamities.