West Bengal State Budget 2021-22 Analysis
ActualsTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for West Bengal FY 2021-22
West Bengal State Budget 2021-22 Budget at a Glance
Total Receipts
Rs 1.24 lakh crore
+18.2%
Total Expenditure
Rs 2.01 lakh crore
+11.4%
Fiscal Deficit
3.8%
Rs 45,800 crore
Capital Expenditure
Rs 22,600 crore
+27.0%
Tax Revenue
Rs 56,800 crore
+22.9%
Interest Payments
Rs 42,300 crore
21% of expenditure
West Bengal Revenue Receipts 2021-22
Own tax revenue vs non-tax revenue breakdown
West Bengal Expenditure Breakdown 2021-22
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Fiscal Deficit as % of GSDP â West Bengal 2021-22
The fiscal deficit for West Bengal in 2021-22 is 3.8% of GSDP (Rs 45,800 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. West Bengal's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 42,300 crore consume 21.1% of total expenditure.
West Bengal State Budget 2021-22 â Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 2.01 lakh crore | 100% |
| 1. Revenue Receipts | Rs 1.24 lakh crore | 61.5% |
| a. Own Tax Revenue | Rs 56,800 crore | 28.3% |
| b. Non-Tax Revenue | Rs 7,600 crore | 3.8% |
| B. Total Expenditure | Rs 2.01 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 1.78 lakh crore | 88.7% |
| 2. Capital Expenditure | Rs 22,600 crore | 11.3% |
| of which: Interest Payments | Rs 42,300 crore | 21.1% |
| C. Fiscal Deficit | Rs 45,800 crore | 3.8% of GSDP |
Source: West Bengal State Budget Documents via PRS India. All figures in Indian Rupees.
West Bengal Budget 2021-22 Analysis & Highlights
Key Highlights
- West Bengal's total expenditure in 2021-22 reached approximately Rs 2,45,000 crore as the state recovered from COVID-19 under the TMC's third consecutive government led by Mamata Banerjee.
- Revenue receipts surged to Rs 1,72,500 crore, a 24.5% recovery driven by post-pandemic economic bounce-back and SGST collections reaching Rs 30,200 crore.
- TMC won the 2021 Assembly elections with 213 seats despite an aggressive BJP campaign, validating the welfare-centric governance model and Mamata Banerjee's personal popularity.
- Swasthya Sathi health insurance expanded to universal coverage of 10 crore population with Rs 4,500 crore allocation providing Rs 5 lakh cashless hospitalization per family.
- Education spending of Rs 32,500 crore included Rs 2,800 crore for school infrastructure repair from cyclone damage and digital learning platform development.
- Krishak Bandhu enhanced to provide Rs 10,000 per acre per year with Rs 7,500 crore allocation covering 7.5 million farmers across the state.
- Health expenditure of Rs 18,500 crore included Rs 5,000 crore for COVID-19 vaccination drive, hospital upgrades, and oxygen plant installation.
- Interest payments of Rs 34,500 crore consumed 20% of revenue receipts with total outstanding debt at Rs 4,65,000 crore.
- Infrastructure allocation of Rs 32,000 crore resumed stalled projects and launched new highway construction in North Bengal and the Jungle Mahal region.
- Duare Sarkar 2.0 camps enrolled 2.5 crore beneficiaries in government schemes through 15,000 doorstep service camps across all districts.
- GST compensation expiry loomed with Rs 9,500 crore annual compensation at risk from June 2022, creating medium-term fiscal uncertainty.
- Revenue surplus recovered to Rs 3,200 crore as post-pandemic revenue buoyancy restored fiscal balance.
- Power sector received Rs 8,500 crore for distribution upgrades and 1,000 MW solar capacity addition under the state's renewable energy program.
- Rural housing under Bangla Awas Yojana received Rs 5,500 crore targeting 700,000 new houses in the post-cyclone reconstruction phase.
Compare West Bengal Budget â Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2017-18 | 2018-19 | 2019-20 | 2020-21 | 2021-22 |
|---|---|---|---|---|---|
| Total Expenditure | â | â | â | Rs 1.8 lakh crore | Rs 2.01 lakh crore |
| Revenue Receipts | â | â | â | Rs 1.04 lakh crore | Rs 1.24 lakh crore |
| Capital Expenditure | â | â | â | Rs 17,800 crore | Rs 22,600 crore |
| Fiscal Deficit (% GSDP) | â | â | â | 4.4% | 3.8% |
| Own Tax Revenue | â | â | â | Rs 46,200 crore | Rs 56,800 crore |
Columns showing "â" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding West Bengal State Budget 2021-22
The West Bengal 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.
West Bengal 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 West Bengal with other states
Side-by-side comparison of fiscal metrics across Indian states