Madhya Pradesh State Budget 2017-18 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Madhya Pradesh FY 2017-18
Madhya Pradesh State Budget 2017-18 Budget at a Glance
Total Receipts
Rs 1.35 lakh crore
+9.4%
Total Expenditure
Rs 1.63 lakh crore
+7.2%
Fiscal Deficit
3.1%
Rs 22,745 crore
Capital Expenditure
Rs 32,464 crore
+0.7%
Tax Revenue
Rs 95,664 crore
+6.0%
Interest Payments
Rs 11,045 crore
7% of expenditure
Madhya Pradesh Revenue Receipts 2017-18
Own tax revenue vs non-tax revenue breakdown
Madhya Pradesh Expenditure Breakdown 2017-18
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Madhya Pradesh 2017-18
The fiscal deficit for Madhya Pradesh in 2017-18 is 3.1% of GSDP (Rs 22,745 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 is maintaining fiscal discipline close to the recommended limit.
Interest payments at Rs 11,045 crore consume 6.8% of total expenditure.
Madhya Pradesh State Budget 2017-18 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 1.4 lakh crore | 100% |
| 1. Revenue Receipts | Rs 1.35 lakh crore | 96.4% |
| a. Own Tax Revenue | Rs 95,664 crore | 68.3% |
| b. Non-Tax Revenue | Rs 9,061 crore | 6.5% |
| B. Total Expenditure | Rs 1.63 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 1.3 lakh crore | 80.0% |
| 2. Capital Expenditure | Rs 32,464 crore | 20.0% |
| of which: Interest Payments | Rs 11,045 crore | 6.8% |
| C. Fiscal Deficit | Rs 22,745 crore | 3.1% of GSDP |
Source: Madhya Pradesh State Budget Documents via PRS India. All figures in Indian Rupees.
Madhya Pradesh Budget 2017-18 Analysis & Highlights
Key Highlights
- Total expenditure (net of debt repayment) grew just 7.2% to Rs 1,62,710 crore โ a sharp deceleration from the previous year's 26.7% surge
- Fiscal deficit narrowed to Rs 22,745 crore, 3.1% of GSDP (RBI accounts; PRS's contemporaneous analysis printed Rs 22,430 crore / 3.17%), pulling back toward the FRBM line after the UDAY breach
- Revenue surplus improved to Rs 4,629 crore, about 0.6% of GSDP
- Own tax revenue rose only 1.4% to Rs 44,811 crore in the GST transition year (the RBI accounts series records Rs 49,943 crore on a different GST-period classification)
- Grants-in-aid from the Centre jumped 25.8% to Rs 30,150 crore, cushioning the tax transition with GST compensation flows
- Central transfers of Rs 81,003 crore financed a record 60.1% of revenue receipts of Rs 1,34,875 crore
- Interest payments climbed 21.7% to Rs 11,045 crore โ 8.2% of revenue receipts โ as the UDAY debt bulge began to bite
- Committed expenditure (salaries Rs 25,664 crore + pensions Rs 9,290 crore + interest Rs 11,045 crore) totalled Rs 46,000 crore, 34.1% of revenue receipts
- Capital expenditure was essentially flat at Rs 32,464 crore โ about 20% of total expenditure
- Education was the largest sector at Rs 24,342 crore, ahead of water supply/urban development (Rs 19,682 crore) and energy (Rs 17,233 crore)
- Outstanding liabilities reached Rs 1,73,137 crore โ 23.8% of a GSDP of Rs 7,26,284 crore
Compare Madhya Pradesh Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2013-14 | 2014-15 | 2015-16 | 2016-17 | 2017-18 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 1.52 lakh crore | Rs 1.63 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 1.23 lakh crore | Rs 1.35 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 32,229 crore | Rs 32,464 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 4.3% | 3.1% |
| Own Tax Revenue | โ | โ | โ | Rs 90,258 crore | Rs 95,664 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Madhya Pradesh State Budget 2017-18
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