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Uttarakhand State Budget 2021-22 Analysis

Actuals

Total expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Uttarakhand FY 2021-22

Uttarakhand State Budget 2021-22 Budget at a Glance

Total Receipts

Rs 39,500 crore

+16.9%

Total Expenditure

Rs 50,500 crore

+11.5%

Fiscal Deficit

3.5%

Rs 9,000 crore

Capital Expenditure

Rs 7,500 crore

+10.3%

Tax Revenue

Rs 17,800 crore

+25.4%

Interest Payments

Rs 5,200 crore

10% of expenditure

Uttarakhand Revenue Receipts 2021-22

Own tax revenue vs non-tax revenue breakdown

Tax Revenue
Rs 17,800 crore (70.4%)
Non-Tax Revenue
Rs 7,500 crore (29.6%)

Uttarakhand Expenditure Breakdown 2021-22

Revenue vs Capital spending and department allocation

Revenue vs Capital Split

Revenue Expenditure 85.1%
Capital Expenditure 14.9%

Fiscal Deficit as % of GSDP โ€” Uttarakhand 2021-22

The fiscal deficit for Uttarakhand in 2021-22 is 3.5% of GSDP (Rs 9,000 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 is maintaining fiscal discipline close to the recommended limit.

Interest payments at Rs 5,200 crore consume 10.3% of total expenditure.

Uttarakhand State Budget 2021-22 โ€” Receipts & Expenditure Summary

ParticularsAmount% of Total
A. Total ReceiptsRs 49,500 crore100%
1. Revenue ReceiptsRs 39,500 crore79.8%
a. Own Tax RevenueRs 17,800 crore36.0%
b. Non-Tax RevenueRs 7,500 crore15.2%
B. Total ExpenditureRs 50,500 crore100%
1. Revenue ExpenditureRs 43,000 crore85.1%
2. Capital ExpenditureRs 7,500 crore14.9%
of which: Interest PaymentsRs 5,200 crore10.3%
C. Fiscal DeficitRs 9,000 crore3.5% of GSDP

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

Uttarakhand Budget 2021-22 Analysis & Highlights

Key Highlights

  • Total expenditure rebounded to approximately Rs 47,500 crore as the economy recovered from the COVID-19 shock and deferred infrastructure projects resumed.
  • Revenue receipts recovered to Rs 39,000 crore, with own tax revenue reaching Rs 13,800 crore on the back of pent-up demand and resumed economic activity.
  • The devastating second COVID wave in April-May 2021 hit Uttarakhand hard, with oxygen shortages and overwhelmed hospitals in Dehradun and Haridwar.
  • The 2021 Kumbh Mela in Haridwar, held during the second wave despite concerns, became a super-spreader event that drew national criticism.
  • Chief Minister Trivendra Singh Rawat was replaced by Tirath Singh Rawat in March 2021, who was in turn replaced by Pushkar Singh Dhami in July 2021.
  • Tourism recovery began in the second half with 25 million visitors, led by domestic revenge travel to hill stations and pilgrimage sites.
  • Char Dham highway construction resumed at full pace with Rs 4,500 crore spent as the project approached 60% physical completion.
  • Education spending at Rs 8,200 crore included Rs 500 crore for school reopening protocols and learning loss remediation programmes.
  • Health expenditure surged to Rs 5,800 crore, including Rs 2,000 crore for COVID treatment, vaccination drives, and oxygen plant installation.
  • GST compensation of Rs 3,500 crore from the centre was critical for fiscal stability as the compensation mechanism entered its final year.
  • Industrial production recovered fully with the pharmaceutical sector maintaining pandemic-era elevated output while other sectors rebounded.
  • PMAY-Gramin achieved 80,000 cumulative house completions, with the construction activity generating significant rural employment.
  • Revenue deficit improved to Rs 2,500 crore as revenue recovery outpaced expenditure growth.
  • Fiscal deficit at Rs 6,000 crore was approximately 4.5% of GSDP, elevated but improving from the 2020-21 crisis level.
  • Uttarakhand's Chamoli disaster in February 2021 โ€” a glacial burst on the Rishiganga โ€” killed over 200 people and destroyed two hydropower projects worth Rs 2,500 crore.

Compare Uttarakhand Budget โ€” Recent Years

Year-over-year comparison of key fiscal metrics

Metric2017-182018-192019-202020-212021-22
Total Expenditureโ€”โ€”โ€”Rs 45,300 croreRs 50,500 crore
Revenue Receiptsโ€”โ€”โ€”Rs 33,800 croreRs 39,500 crore
Capital Expenditureโ€”โ€”โ€”Rs 6,800 croreRs 7,500 crore
Fiscal Deficit (% GSDP)โ€”โ€”โ€”4.8%3.5%
Own Tax Revenueโ€”โ€”โ€”Rs 14,200 croreRs 17,800 crore

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

Understanding Uttarakhand State Budget 2021-22

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.

Compare Uttarakhand with other states

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