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Odisha State Budget 2017-18 Analysis

Actuals

Total expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Odisha FY 2017-18

Odisha State Budget 2017-18 Budget at a Glance

Total Receipts

Rs 65,800 crore

+14.4%

Total Expenditure

Rs 86,000 crore

+14.7%

Fiscal Deficit

2.7%

Rs 10,800 crore

Capital Expenditure

Rs 17,800 crore

+17.1%

Tax Revenue

Rs 23,400 crore

+15.8%

Interest Payments

Rs 6,000 crore

7% of expenditure

Odisha Revenue Receipts 2017-18

Own tax revenue vs non-tax revenue breakdown

Tax Revenue
Rs 23,400 crore (69.6%)
Non-Tax Revenue
Rs 10,200 crore (30.4%)

Odisha Expenditure Breakdown 2017-18

Revenue vs Capital spending and department allocation

Revenue vs Capital Split

Revenue Expenditure 79.3%
Capital Expenditure 20.7%

Fiscal Deficit as % of GSDP โ€” Odisha 2017-18

The fiscal deficit for Odisha in 2017-18 is 2.7% of GSDP (Rs 10,800 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. Odisha is maintaining fiscal discipline close to the recommended limit.

Interest payments at Rs 6,000 crore consume 7.0% of total expenditure.

Odisha State Budget 2017-18 โ€” Receipts & Expenditure Summary

ParticularsAmount% of Total
A. Total ReceiptsRs 92,500 crore100%
1. Revenue ReceiptsRs 65,800 crore71.1%
a. Own Tax RevenueRs 23,400 crore25.3%
b. Non-Tax RevenueRs 10,200 crore11.0%
B. Total ExpenditureRs 86,000 crore100%
1. Revenue ExpenditureRs 68,200 crore79.3%
2. Capital ExpenditureRs 17,800 crore20.7%
of which: Interest PaymentsRs 6,000 crore7.0%
C. Fiscal DeficitRs 10,800 crore2.7% of GSDP

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

Odisha Budget 2017-18 Analysis & Highlights

Key Highlights

  • Revenue receipts grew to Rs 65,800 crore as GST implementation generated initial disruption followed by robust stabilisation.
  • Fiscal deficit at 2.7% of GSDP at Rs 10,800 crore widened marginally as capital expenditure accelerated for industrial infrastructure.
  • GSDP at Rs 4,03,000 crore crossed the Rs 4 lakh crore milestone, reflecting Odisha's emergence as a significant state economy.
  • Capital expenditure surged to Rs 17,800 crore as the state invested heavily in industrial corridors, irrigation, and smart city projects.
  • Hockey World Cup 2018 preparations drove Rs 3,000 crore investment in Kalinga Stadium and Bhubaneswar infrastructure.
  • Mining royalties at Rs 10,200 crore set new records as iron ore prices recovered above $70 per tonne.
  • Education spending prioritised Odisha Adarsha Vidyalaya programme establishing model English-medium schools in every block.
  • Naveen Patnaik's 5T governance framework (Teamwork, Technology, Transparency, Transformation, Time-limit) was formalised.
  • Total outstanding debt-to-GSDP ratio at 17.1% continued the downward trend reflecting fiscal prudence.
  • Interest payments at Rs 6,000 crore consumed only 9% of revenue receipts, among the lowest in India.
  • Food security programme expanded to include eggs and millets in mid-day meals for improved nutrition.
  • Healthcare spending established trauma care centres along national highways and industrial corridors.
  • Market borrowings of Rs 16,500 crore financed capital-heavy spending on irrigation and roads.
  • The Mo Sarkar citizen feedback initiative launched requiring officials to proactively seek citizen satisfaction data.

Compare Odisha Budget โ€” Recent Years

Year-over-year comparison of key fiscal metrics

Metric2013-142014-152015-162016-172017-18
Total Expenditureโ€”โ€”โ€”Rs 75,000 croreRs 86,000 crore
Revenue Receiptsโ€”โ€”โ€”Rs 57,500 croreRs 65,800 crore
Capital Expenditureโ€”โ€”โ€”Rs 15,200 croreRs 17,800 crore
Fiscal Deficit (% GSDP)โ€”โ€”โ€”2.5%2.7%
Own Tax Revenueโ€”โ€”โ€”Rs 20,200 croreRs 23,400 crore

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

Understanding Odisha State Budget 2017-18

The Odisha 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.

Odisha 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 Odisha with other states

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