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Himachal Pradesh State Budget 2023-24 Analysis

Revised Estimate

Total expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Himachal Pradesh FY 2023-24

Himachal Pradesh State Budget 2023-24 Budget at a Glance

Total Receipts

Rs 40,446 crore

-3.7%

Total Expenditure

Rs 52,707 crore

-5.0%

Fiscal Deficit

5.9%

Rs 12,295 crore

Capital Expenditure

Rs 6,781 crore

-20.2%

Tax Revenue

Rs 12,769 crore

-11.9%

Interest Payments

Rs 5,658 crore

11% of expenditure

Himachal Pradesh Revenue Receipts 2023-24

Own tax revenue vs non-tax revenue breakdown

Tax Revenue
Rs 12,769 crore (79.3%)
Non-Tax Revenue
Rs 3,325 crore (20.7%)

Himachal Pradesh Expenditure Breakdown 2023-24

Revenue vs Capital spending and department allocation

Revenue vs Capital Split

Revenue Expenditure 87.1%
Capital Expenditure 12.9%

Top 10 Departments by Allocation

Fiscal Deficit as % of GSDP — Himachal Pradesh 2023-24

The fiscal deficit for Himachal Pradesh in 2023-24 is 5.9% of GSDP (Rs 12,295 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. Himachal Pradesh's deficit is above this threshold, driven by higher capital spending needs.

Interest payments at Rs 5,658 crore consume 10.7% of total expenditure.

Himachal Pradesh State Budget 2023-24 — Receipts & Expenditure Summary

ParticularsAmount% of Total
A. Total ReceiptsRs 59,147 crore100%
1. Revenue ReceiptsRs 40,446 crore68.4%
a. Own Tax RevenueRs 12,769 crore21.6%
b. Non-Tax RevenueRs 3,325 crore5.6%
B. Total ExpenditureRs 52,707 crore100%
1. Revenue ExpenditureRs 45,926 crore87.1%
2. Capital ExpenditureRs 6,781 crore12.9%
of which: Interest PaymentsRs 5,658 crore10.7%
C. Fiscal DeficitRs 12,295 crore5.9% of GSDP

Source: Himachal Pradesh State Budget Documents via PRS India. All figures in Indian Rupees.

Himachal Pradesh Department-wise Expenditure 2023-24

Top departments by allocation in Himachal Pradesh for 2023-24

Department ↕Total ↓Share
1. Education
Rs 7,400 crore
14.0%
2. Health & Family Welfare
Rs 3,650 crore
6.9%
3. Energy
Rs 3,400 crore
6.5%
4. Rural Development
Rs 3,350 crore
6.4%
5. Transport & Roads
Rs 3,000 crore
5.7%
6. Police & Home
Rs 2,520 crore
4.8%
7. Social Welfare
Rs 2,150 crore
4.1%
8. Agriculture & Allied
Rs 2,100 crore
4.0%
9. Water Supply & Sanitation
Rs 1,550 crore
2.9%
10. Urban Development
Rs 1,400 crore
2.7%

Himachal Pradesh Budget 2023-24 Analysis & Highlights

Key Highlights

  • Revised expenditure at Rs 52,768 crore, broadly in line with original estimates
  • Revenue receipts fell to Rs 40,446 crore with tax collections at Rs 12,769 crore
  • Revenue deficit widened to Rs 5,480 crore as revenue underperformed expenditure
  • Fiscal deficit at 5.9% of GSDP (Rs 12,295 crore), nearly double the FRBM target
  • Debt-to-GSDP worsened to 39.5% — highest in recent Himachal fiscal history
  • Primary deficit at Rs 6,636 crore reflects heavy borrowing beyond debt service needs
  • Market borrowings of Rs 10,000 crore required to plug the wide fiscal gap
  • Capital expenditure at Rs 6,781 crore maintained despite fiscal pressure
  • Interest payments at Rs 5,658 crore — 14.0% of revenue receipts
  • Severe monsoon floods in July-August 2023 caused Rs 12,000 crore in estimated damage
  • Tax revenue shortfall partly due to flood disruption of economic activity
  • GSDP at Rs 2,07,430 crore — growth impacted by natural disaster losses

Compare Himachal Pradesh Budget — Recent Years

Year-over-year comparison of key fiscal metrics

Metric2019-202020-212021-222022-232023-24
Total Expenditure———Rs 55,500 croreRs 52,707 crore
Revenue Receipts———Rs 42,000 croreRs 40,446 crore
Capital Expenditure———Rs 8,500 croreRs 6,781 crore
Fiscal Deficit (% GSDP)———5.8%5.9%
Own Tax Revenue———Rs 14,500 croreRs 12,769 crore

Columns showing "—" will populate as more data is ingested. Data from official budget documents via PRS India.

Understanding Himachal Pradesh State Budget 2023-24

The Himachal Pradesh 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.

Himachal Pradesh 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.

Compare Himachal Pradesh with other states

Side-by-side comparison of fiscal metrics across Indian states