Jharkhand State Budget 2020-21 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Jharkhand FY 2020-21
Jharkhand State Budget 2020-21 Budget at a Glance
Total Receipts
Rs 50,200 crore
-6.7%
Total Expenditure
Rs 68,300 crore
-0.1%
Fiscal Deficit
3.7%
Rs 11,200 crore
Capital Expenditure
Rs 9,800 crore
-12.5%
Tax Revenue
Rs 15,500 crore
-12.9%
Interest Payments
Rs 7,000 crore
10% of expenditure
Jharkhand Revenue Receipts 2020-21
Own tax revenue vs non-tax revenue breakdown
Jharkhand Expenditure Breakdown 2020-21
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Jharkhand 2020-21
The fiscal deficit for Jharkhand in 2020-21 is 3.7% of GSDP (Rs 11,200 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. Jharkhand's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 7,000 crore consume 10.2% of total expenditure.
Jharkhand State Budget 2020-21 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 73,500 crore | 100% |
| 1. Revenue Receipts | Rs 50,200 crore | 68.3% |
| a. Own Tax Revenue | Rs 15,500 crore | 21.1% |
| b. Non-Tax Revenue | Rs 7,800 crore | 10.6% |
| B. Total Expenditure | Rs 68,300 crore | 100% |
| 1. Revenue Expenditure | Rs 58,500 crore | 85.7% |
| 2. Capital Expenditure | Rs 9,800 crore | 14.3% |
| of which: Interest Payments | Rs 7,000 crore | 10.2% |
| C. Fiscal Deficit | Rs 11,200 crore | 3.7% of GSDP |
Source: Jharkhand State Budget Documents via PRS India. All figures in Indian Rupees.
Jharkhand Budget 2020-21 Analysis & Highlights
Key Highlights
- COVID-19 hit Jharkhand's mining and industrial economy hard.
- Coal production declined 10% during lockdowns affecting royalty revenue.
- Jamshedpur steel and Dhanbad coal sectors shed temporary workers.
- Reverse migration of Jharkhand workers from other states created employment pressure.
- Health system critically inadequate โ among India's worst hospital bed ratios.
- Fiscal deficit widened as revenue collapsed while pandemic response required spending.
- MGNREGA demand surged in rural and tribal areas.
- Agriculture provided partial cushion with normal monsoon and crop production.
- Central pandemic grants supplemented severely limited state health capacity.
- First full year under Hemant Soren JMM-Congress government.
Compare Jharkhand Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2016-17 | 2017-18 | 2018-19 | 2019-20 | 2020-21 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 68,400 crore | Rs 68,300 crore |
| Revenue Receipts | โ | โ | โ | Rs 53,800 crore | Rs 50,200 crore |
| Capital Expenditure | โ | โ | โ | Rs 11,200 crore | Rs 9,800 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 3.0% | 3.7% |
| Own Tax Revenue | โ | โ | โ | Rs 17,800 crore | Rs 15,500 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Jharkhand State Budget 2020-21
The Jharkhand 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.
Jharkhand 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.
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Compare Jharkhand with other states
Side-by-side comparison of fiscal metrics across Indian states