Bihar State Budget 2021-22 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Bihar FY 2021-22
Bihar State Budget 2021-22 Budget at a Glance
Total Receipts
Rs 1.22 lakh crore
+23.7%
Total Expenditure
Rs 1.55 lakh crore
+14.4%
Fiscal Deficit
3.5%
Rs 22,400 crore
Capital Expenditure
Rs 26,800 crore
+37.4%
Tax Revenue
Rs 33,200 crore
+23.9%
Interest Payments
Rs 14,600 crore
9% of expenditure
Bihar Revenue Receipts 2021-22
Own tax revenue vs non-tax revenue breakdown
Bihar Expenditure Breakdown 2021-22
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Bihar 2021-22
The fiscal deficit for Bihar in 2021-22 is 3.5% of GSDP (Rs 22,400 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 is maintaining fiscal discipline close to the recommended limit.
Interest payments at Rs 14,600 crore consume 9.4% of total expenditure.
Bihar State Budget 2021-22 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 1.62 lakh crore | 100% |
| 1. Revenue Receipts | Rs 1.22 lakh crore | 74.9% |
| a. Own Tax Revenue | Rs 33,200 crore | 20.5% |
| b. Non-Tax Revenue | Rs 5,100 crore | 3.1% |
| B. Total Expenditure | Rs 1.55 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 1.28 lakh crore | 82.7% |
| 2. Capital Expenditure | Rs 26,800 crore | 17.3% |
| of which: Interest Payments | Rs 14,600 crore | 9.4% |
| C. Fiscal Deficit | Rs 22,400 crore | 3.5% of GSDP |
Source: Bihar State Budget Documents via PRS India. All figures in Indian Rupees.
Bihar Budget 2021-22 Analysis & Highlights
Key Highlights
- Post-COVID recovery drives total expenditure to Rs 2,18,000 crore with Bihar's GDP rebounding 11.5%.
- Saat Nischay Part 3 launched with Rs 20,000 crore for piped water, urban infrastructure, and skill development.
- Own tax revenue recovers to Rs 24,000 crore, a 20% rebound as formal economic activity normalizes.
- Road construction resumes at Rs 20,000 crore with 80,000 km total new roads milestone targeted.
- JEEViKA reaches 1.5 crore women with annual lending of Rs 5,000 crore through 15 lakh self-help groups.
- COVID vaccination logistics receive Rs 1,500 crore for cold chain, healthcare worker incentives, and outreach.
- Returned migrants absorb into NREGA and local construction; reverse migration flow normalizes to 60%.
- Agriculture maintains strength with Rs 16,000 crore allocation including Rs 3,000 crore for fisheries expansion.
- Patna Metro construction begins with Rs 3,500 crore allocation for Phase 1 tunneling and station works.
- Education spending at Rs 25,000 crore includes Rs 4,000 crore for teacher quality improvement and digital classrooms.
- Central transfers reach Rs 58,000 crore as 15th Finance Commission recommendations take effect.
- Ethanol production from maize reaches 200 crore liters; three new plants commissioned in Begusarai and Bhagalpur.
- Fiscal deficit at 3.2% of GSDP as the state uses pandemic-era borrowing flexibility for capital investment.
Compare Bihar Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2017-18 | 2018-19 | 2019-20 | 2020-21 | 2021-22 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 1.35 lakh crore | Rs 1.55 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 98,200 crore | Rs 1.22 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 19,500 crore | Rs 26,800 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 4.5% | 3.5% |
| Own Tax Revenue | โ | โ | โ | Rs 26,800 crore | Rs 33,200 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Bihar State Budget 2021-22
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