Bihar State Budget 2009-10 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Bihar FY 2009-10
Bihar State Budget 2009-10 Budget at a Glance
Total Receipts
Rs 32,200 crore
+31.4%
Total Expenditure
Rs 43,000 crore
+25.4%
Fiscal Deficit
4.0%
Rs 6,800 crore
Capital Expenditure
Rs 7,500 crore
+29.3%
Tax Revenue
Rs 9,800 crore
+25.6%
Interest Payments
Rs 4,200 crore
10% of expenditure
Bihar Revenue Receipts 2009-10
Own tax revenue vs non-tax revenue breakdown
Bihar Expenditure Breakdown 2009-10
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Bihar 2009-10
The fiscal deficit for Bihar in 2009-10 is 4.0% of GSDP (Rs 6,800 crore), reflecting the state's borrowing needs to fund development programmes.
States are expected to maintain fiscal deficit within 3% of GSDP as per the FRBM Act. Bihar's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 4,200 crore consume 9.8% of total expenditure.
Bihar State Budget 2009-10 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 45,200 crore | 100% |
| 1. Revenue Receipts | Rs 32,200 crore | 71.2% |
| a. Own Tax Revenue | Rs 9,800 crore | 21.7% |
| b. Non-Tax Revenue | Rs 2,400 crore | 5.3% |
| B. Total Expenditure | Rs 43,000 crore | 100% |
| 1. Revenue Expenditure | Rs 35,500 crore | 82.6% |
| 2. Capital Expenditure | Rs 7,500 crore | 17.4% |
| of which: Interest Payments | Rs 4,200 crore | 9.8% |
| C. Fiscal Deficit | Rs 6,800 crore | 4.0% of GSDP |
Source: Bihar State Budget Documents via PRS India. All figures in Indian Rupees.
Bihar Budget 2009-10 Analysis & Highlights
Key Highlights
- Bihar records 14.5% GDP growth, the highest among all states for the second time in four years.
- Total expenditure rises to Rs 40,000 crore as the government scales up spending ahead of November 2010 state elections.
- Nitish Kumar government wins re-election with massive majority, validating the development governance model.
- Road construction cumulative target of 25,000 km new roads achieved since 2005, fundamentally transforming connectivity.
- Own tax revenue crosses Rs 5,500 crore with 20% growth, the fastest sustained tax base expansion among BIMARU states.
- Education spending at Rs 7,800 crore as Bihar achieves near-universal primary enrollment for the first time.
- JEEViKA receives Rs 800 crore and covers 25 districts with 12 lakh women in self-help groups.
- Central grants reach Rs 12,000 crore as 13th Finance Commission enhances Bihar's share in devolution.
- Power deficit persists at 55% despite Rs 3,000 crore investment in transmission and distribution infrastructure.
- Healthcare allocation reaches Rs 3,000 crore with 400 additional primary health centers operational.
- Mukhyamantri Kanya Suraksha Yojana launched with Rs 100 crore to combat female infanticide through fixed deposits for girl children.
- Market borrowings of Rs 4,500 crore fund capital investment as the state accesses debt markets efficiently.
- Bihar's special status demand intensifies with all-party delegation to Prime Minister seeking Rs 50,000 crore special package.
Compare Bihar Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2005-06 | 2006-07 | 2007-08 | 2008-09 | 2009-10 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 34,300 crore | Rs 43,000 crore |
| Revenue Receipts | โ | โ | โ | Rs 24,500 crore | Rs 32,200 crore |
| Capital Expenditure | โ | โ | โ | Rs 5,800 crore | Rs 7,500 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 3.8% | 4.0% |
| Own Tax Revenue | โ | โ | โ | Rs 7,800 crore | Rs 9,800 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Bihar State Budget 2009-10
The Bihar state budget is the annual financial plan presented in the state legislature. It covers all revenue receipts, expenditure allocations across departments, and fiscal deficit management. State budgets are critical because states handle key development areas including education, health, agriculture, and infrastructure.
Bihar Revenue Sources
State revenue comes from three sources: own tax revenue (state GST, stamp duty, excise, vehicle tax), non-tax revenue (fees, fines, interest), and transfers from the Centre (share of central taxes as per Finance Commission recommendations, plus grants-in-aid for specific schemes).
Fiscal Deficit and State Borrowing
Under the FRBM framework, states target a fiscal deficit of 3% of GSDP. States can borrow from the market via State Development Loans (SDLs), and the central government also provides loans. The RBI manages the borrowing calendar for states to ensure orderly market conditions.
Explore More
Compare Bihar with other states
Side-by-side comparison of fiscal metrics across Indian states