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Sikkim State Budget 2023-24 Analysis

Revised Estimate

Total expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Sikkim FY 2023-24

Sikkim State Budget 2023-24 Budget at a Glance

Total Receipts

Rs 9,500 crore

-5.0%

Total Expenditure

Rs 12,250 crore

+2.1%

Fiscal Deficit

5.3%

Rs 2,750 crore

Capital Expenditure

Rs 3,700 crore

+68.2%

Tax Revenue

Rs 1,650 crore

+3.1%

Interest Payments

Rs 700 crore

6% of expenditure

Sikkim Revenue Receipts 2023-24

Own tax revenue vs non-tax revenue breakdown

Tax Revenue
Rs 1,650 crore (62.7%)
Non-Tax Revenue
Rs 980 crore (37.3%)

Sikkim Expenditure Breakdown 2023-24

Revenue vs Capital spending and department allocation

Revenue vs Capital Split

Revenue Expenditure 69.8%
Capital Expenditure 30.2%

Top 10 Departments by Allocation

Fiscal Deficit as % of GSDP โ€” Sikkim 2023-24

The fiscal deficit for Sikkim in 2023-24 is 5.3% of GSDP (Rs 2,750 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 700 crore consume 5.7% of total expenditure.

Sikkim State Budget 2023-24 โ€” Receipts & Expenditure Summary

ParticularsAmount% of Total
A. Total ReceiptsRs 12,250 crore100%
1. Revenue ReceiptsRs 9,500 crore77.6%
a. Own Tax RevenueRs 1,650 crore13.5%
b. Non-Tax RevenueRs 980 crore8.0%
B. Total ExpenditureRs 12,250 crore100%
1. Revenue ExpenditureRs 8,550 crore69.8%
2. Capital ExpenditureRs 3,700 crore30.2%
of which: Interest PaymentsRs 700 crore5.7%
C. Fiscal DeficitRs 2,750 crore5.3% of GSDP

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

Sikkim Department-wise Expenditure 2023-24

Top departments by allocation in Sikkim for 2023-24

Department โ†•Total โ†“Share
1. Education
Rs 1,540 crore
12.6%
2. Public Works & Roads
Rs 1,350 crore
11.0%
3. Rural Development
Rs 1,240 crore
10.1%
4. Health & Family Welfare
Rs 960 crore
7.8%
5. Police & Home
Rs 610 crore
5.0%
6. Agriculture & Allied
Rs 600 crore
4.9%
7. Energy
Rs 570 crore
4.7%
8. Water Supply & Sanitation
Rs 460 crore
3.8%
9. Social Welfare
Rs 450 crore
3.7%
10. Urban Development
Rs 410 crore
3.3%

Sikkim Budget 2023-24 Analysis & Highlights

Key Highlights

  • Revised expenditure at Rs 12,250 crore โ€” includes emergency GLOF response spending
  • Revenue receipts at Rs 9,500 crore with own tax at Rs 1,650 crore
  • Revenue surplus of Rs 950 crore โ€” maintained despite disaster
  • Fiscal deficit at 5.3% of GSDP (Rs 2,750 crore), elevated by emergency spending
  • Capital expenditure at Rs 3,700 crore โ€” accelerated by post-GLOF reconstruction urgency
  • October 2023 GLOF destroyed Teesta-III dam and critical North Sikkim infrastructure
  • Emergency spending on rescue, relief, and temporary infrastructure
  • Tourism sector suffered immediate losses from infrastructure destruction
  • Outstanding debt at Rs 12,800 crore, debt-to-GSDP at 24.6%
  • Interest payments at Rs 700 crore โ€” strong servicing capacity
  • Pharma sector tax collections remained stable, providing fiscal anchor
  • GSDP at Rs 51,892 crore โ€” per-capita among highest in northeast

Compare Sikkim Budget โ€” Recent Years

Year-over-year comparison of key fiscal metrics

Metric2019-202020-212021-222022-232023-24
Total Expenditureโ€”โ€”โ€”Rs 12,000 croreRs 12,250 crore
Revenue Receiptsโ€”โ€”โ€”Rs 10,000 croreRs 9,500 crore
Capital Expenditureโ€”โ€”โ€”Rs 2,200 croreRs 3,700 crore
Fiscal Deficit (% GSDP)โ€”โ€”โ€”6.7%5.3%
Own Tax Revenueโ€”โ€”โ€”Rs 1,600 croreRs 1,650 crore

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

Understanding Sikkim State Budget 2023-24

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.

Compare Sikkim with other states

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