Uttarakhand State Budget 2008-09 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Uttarakhand FY 2008-09
Uttarakhand State Budget 2008-09 Budget at a Glance
Total Receipts
Rs 7,500 crore
+10.3%
Total Expenditure
Rs 13,400 crore
+15.5%
Fiscal Deficit
5.7%
Rs 2,200 crore
Capital Expenditure
Rs 3,200 crore
+14.3%
Tax Revenue
Rs 3,600 crore
+12.5%
Interest Payments
Rs 1,400 crore
10% of expenditure
Uttarakhand Revenue Receipts 2008-09
Own tax revenue vs non-tax revenue breakdown
Uttarakhand Expenditure Breakdown 2008-09
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP โ Uttarakhand 2008-09
The fiscal deficit for Uttarakhand in 2008-09 is 5.7% of GSDP (Rs 2,200 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. Uttarakhand's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 1,400 crore consume 10.4% of total expenditure.
Uttarakhand State Budget 2008-09 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 12,100 crore | 100% |
| 1. Revenue Receipts | Rs 7,500 crore | 62.0% |
| a. Own Tax Revenue | Rs 3,600 crore | 29.8% |
| b. Non-Tax Revenue | Rs 1,600 crore | 13.2% |
| B. Total Expenditure | Rs 13,400 crore | 100% |
| 1. Revenue Expenditure | Rs 10,200 crore | 76.1% |
| 2. Capital Expenditure | Rs 3,200 crore | 23.9% |
| of which: Interest Payments | Rs 1,400 crore | 10.4% |
| C. Fiscal Deficit | Rs 2,200 crore | 5.7% of GSDP |
Source: Uttarakhand State Budget Documents via PRS India. All figures in Indian Rupees.
Uttarakhand Budget 2008-09 Analysis & Highlights
Key Highlights
- Total expenditure rose to approximately Rs 16,800 crore, a 16% increase driven by Sixth Pay Commission salary revisions and expanded central scheme funding.
- Revenue receipts grew to Rs 14,200 crore, with the state's own tax revenue crossing Rs 4,300 crore on the back of continued industrial activity in the plains corridor.
- Sixth Pay Commission arrears and revised pay scales added Rs 1,500 crore to the salary bill, consuming a substantial share of incremental revenue.
- The global financial crisis of 2008 dampened industrial sentiment, slowing new investment inflows into the Dehradun-Haridwar-Pantnagar industrial belt.
- Tourism sector faced a brief downturn as discretionary travel spending declined nationally, affecting hotel and hospitality revenues in Mussoorie and Nainital.
- NREGS expenditure reached Rs 600 crore, providing critical wage employment in hill districts suffering from chronic seasonal unemployment.
- Hydropower projects received Rs 750 crore as the state pushed for faster clearances on medium-sized run-of-the-river projects.
- Road construction allocation rose to Rs 1,800 crore, including Rs 400 crore for the Char Dham highway improvement programme.
- Health sector spending increased to Rs 1,450 crore with NRHM funds enabling construction of primary health sub-centres in remote hill habitations.
- Education budget at Rs 3,200 crore included expansion of Sarva Shiksha Abhiyan schools and mid-day meal programme across all districts.
- The state's pharmaceutical industry in Selaqui crossed Rs 5,000 crore in annual output, making Uttarakhand a major pharma manufacturing hub.
- Revenue deficit widened to Rs 1,200 crore due to pay commission implementation, straining the FRBM consolidation path.
- Fiscal deficit reached Rs 2,800 crore, approximately 3.5% of GSDP, breaching the recommended 3% ceiling temporarily.
- Disaster preparedness allocation remained at Rs 250 crore despite increasing frequency of extreme weather events in the Himalayan region.
- Chief Minister Tiwari's government launched the Mukhya Mantri Adarsh Gram Yojana for integrated development of selected hill villages.
Compare Uttarakhand Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2004-05 | 2005-06 | 2006-07 | 2007-08 | 2008-09 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 11,600 crore | Rs 13,400 crore |
| Revenue Receipts | โ | โ | โ | Rs 6,800 crore | Rs 7,500 crore |
| Capital Expenditure | โ | โ | โ | Rs 2,800 crore | Rs 3,200 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 5.2% | 5.7% |
| Own Tax Revenue | โ | โ | โ | Rs 3,200 crore | Rs 3,600 crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Uttarakhand State Budget 2008-09
The Uttarakhand 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.
Uttarakhand 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.
Explore More
Compare Uttarakhand with other states
Side-by-side comparison of fiscal metrics across Indian states