Indian Budget 2006-07- Full Text
Full Text of P. Chidambaram, Minister of Finance, Budget Speech(Feb 28, 2006)
XIII BUDGET ESTIMATES FOR 2006-07
114. I turn to the Budget Estimates for the next fiscal.
115. Plan expenditure for 2006-07 is estimated at Rs.172,728 crore, up by 20.4 per cent. As a proportion of total expenditure, Plan expenditure has increased from 26.6 per cent in 2004-05 to 28.3 per cent in 2005-06 (RE) and further to 30.6 per cent in 2006-07 (BE). This points to the improvement in the quality of Government expenditure.
116. Non-Plan expenditure in 2006-07 is estimated to be Rs.391,263 crore. The increase of 5.5 per cent over non-plan expenditure in 2005-06 (BE) is due to normal growth and is one the smallest in recent years.
Revenue Deficit and Fiscal Deficit
117. Mr. Speaker, Sir, in the Budget Estimates for 2006-07, the total expenditure is estimated at Rs.563,991 crore. I estimate total revenue receipts of the Central Government at Rs.403,465 crore and the revenue expenditure at Rs.488,192 crore. Consequently, the revenue deficit is estimated at Rs.84,727 crore which is 2.1 per cent of the GDP. The fiscal deficit is estimated at Rs.148,686 crore, which is 3.8 per cent of the GDP. I believe that I have redeemed my promise that the process of fiscal correction will be resumed in 2006-07.