Sikkim State Budget 2021-22 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Sikkim FY 2021-22
Sikkim State Budget 2021-22 Budget at a Glance
Total Receipts
Rs 8,500 crore
+21.4%
Total Expenditure
Rs 10,300 crore
+13.2%
Fiscal Deficit
6.7%
Rs 1,800 crore
Capital Expenditure
Rs 1,800 crore
+12.5%
Tax Revenue
Rs 1,300 crore
+30.0%
Interest Payments
Rs 900 crore
9% of expenditure
Sikkim Revenue Receipts 2021-22
Own tax revenue vs non-tax revenue breakdown
Sikkim Expenditure Breakdown 2021-22
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Sikkim 2021-22
The fiscal deficit for Sikkim in 2021-22 is 6.7% of GSDP (Rs 1,800 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. Sikkim's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 900 crore consume 8.7% of total expenditure.
Sikkim State Budget 2021-22 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 10,800 crore | 100% |
| 1. Revenue Receipts | Rs 8,500 crore | 78.7% |
| a. Own Tax Revenue | Rs 1,300 crore | 12.0% |
| b. Non-Tax Revenue | Rs 2,200 crore | 20.4% |
| B. Total Expenditure | Rs 10,300 crore | 100% |
| 1. Revenue Expenditure | Rs 8,500 crore | 82.5% |
| 2. Capital Expenditure | Rs 1,800 crore | 17.5% |
| of which: Interest Payments | Rs 900 crore | 8.7% |
| C. Fiscal Deficit | Rs 1,800 crore | 6.7% of GSDP |
Source: Sikkim State Budget Documents via PRS India. All figures in Indian Rupees.
Sikkim Budget 2021-22 Analysis & Highlights
Key Highlights
- Total expenditure at Rs 10,300 crore as post-pandemic recovery spending drives expansion
- Revenue receipts at Rs 8,500 crore with own tax revenue rebounding to Rs 1,300 crore
- Revenue account balanced at zero deficit as tourism recovery boosts tax collections
- Fiscal deficit at 6.7% of GSDP (Rs 1,800 crore), still elevated from pandemic borrowing norms
- Capital expenditure at Rs 1,800 crore with tourism infrastructure and highway priorities
- Market borrowings at Rs 1,700 crore continue the elevated post-pandemic trajectory
- Total outstanding debt at Rs 11,500 crore with debt-to-GSDP at 42.6%
- Interest payments at Rs 900 crore reflect compounding pandemic-era debt costs
- GSDP rebounds to Rs 27,000 crore with tourism recovery driving growth
- Non-tax revenue at Rs 2,200 crore with robust hydropower royalty contributions
- Tourism sector shows strong recovery with pent-up domestic travel demand
- October 2021 flash floods on Teesta tributaries cause damage to hydropower infrastructure
Compare Sikkim Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2017-18 | 2018-19 | 2019-20 | 2020-21 | 2021-22 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 9,100 crore | Rs 10,300 crore |
| Revenue Receipts | โ | โ | โ | Rs 7,000 crore | Rs 8,500 crore |
| Capital Expenditure | โ | โ | โ | Rs 1,600 crore | Rs 1,800 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 9.1% | 6.7% |
| Own Tax Revenue | โ | โ | โ | Rs 1,000 crore | Rs 1,300 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Sikkim State Budget 2021-22
The Sikkim 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.
Sikkim 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 Sikkim with other states
Side-by-side comparison of fiscal metrics across Indian states