Madhya Pradesh State Budget 2016-17 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Madhya Pradesh FY 2016-17
Madhya Pradesh State Budget 2016-17 Budget at a Glance
Total Receipts
Rs 1.23 lakh crore
+16.9%
Total Expenditure
Rs 1.52 lakh crore
+26.7%
Fiscal Deficit
4.3%
Rs 27,664 crore
Capital Expenditure
Rs 32,229 crore
+61.2%
Tax Revenue
Rs 90,258 crore
+14.8%
Interest Payments
Rs 8,091 crore
5% of expenditure
Madhya Pradesh Revenue Receipts 2016-17
Own tax revenue vs non-tax revenue breakdown
Madhya Pradesh Expenditure Breakdown 2016-17
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Madhya Pradesh 2016-17
The fiscal deficit for Madhya Pradesh in 2016-17 is 4.3% of GSDP (Rs 27,664 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. Madhya Pradesh's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 8,091 crore consume 5.3% of total expenditure.
Madhya Pradesh State Budget 2016-17 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 1.24 lakh crore | 100% |
| 1. Revenue Receipts | Rs 1.23 lakh crore | 99.4% |
| a. Own Tax Revenue | Rs 90,258 crore | 72.7% |
| b. Non-Tax Revenue | Rs 9,087 crore | 7.3% |
| B. Total Expenditure | Rs 1.52 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 1.2 lakh crore | 78.8% |
| 2. Capital Expenditure | Rs 32,229 crore | 21.2% |
| of which: Interest Payments | Rs 8,091 crore | 5.3% |
| C. Fiscal Deficit | Rs 27,664 crore | 4.3% of GSDP |
Source: Madhya Pradesh State Budget Documents via PRS India. All figures in Indian Rupees.
Madhya Pradesh Budget 2016-17 Analysis & Highlights
Key Highlights
- Total expenditure surged 26.7% to Rs 1,51,767 crore (actuals) โ the sharpest single-year jump of the late 2010s for Madhya Pradesh
- Fiscal deficit ballooned to Rs 27,664 crore โ 4.3% of GSDP โ breaching the 3% FRBM ceiling for the first time in years, driven by the UDAY power-debt takeover
- UDAY power bonds of Rs 7,360 crore appeared on the state's books, per the RBI's outstanding-liabilities composition table
- Capital expenditure leapt 61.2% to Rs 32,229 crore, including large loans to power distribution companies
- The state still ran a revenue surplus of Rs 3,769 crore (0.6% of GSDP) despite the deficit blowout
- Own tax revenue of Rs 44,194 crore fell about Rs 2,300 crore short of the Rs 46,500 crore budget estimate in the demonetisation year
- Central transfers hit Rs 70,027 crore โ Rs 46,064 crore devolution plus Rs 23,963 crore grants โ 56.8% of revenue receipts
- Outstanding liabilities jumped 22.2% to Rs 1,56,066 crore, lifting debt to 24.0% of GSDP
- Interest payments stayed contained at Rs 9,079 crore, 7.4% of revenue receipts
- Nominal GSDP grew 20.1% to Rs 6,49,823 crore on the back of a record agricultural rebound
- Rural development (Rs 26,748 crore) and energy (Rs 20,424 crore) were the largest departmental spends in the actuals
Compare Madhya Pradesh Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2012-13 | 2013-14 | 2014-15 | 2015-16 | 2016-17 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 1.2 lakh crore | Rs 1.52 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 1.06 lakh crore | Rs 1.23 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 19,995 crore | Rs 32,229 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 2.6% | 4.3% |
| Own Tax Revenue | โ | โ | โ | Rs 78,611 crore | Rs 90,258 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Madhya Pradesh State Budget 2016-17
The Madhya 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.
Madhya 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.
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Compare Madhya Pradesh with other states
Side-by-side comparison of fiscal metrics across Indian states