Odisha CM Naveen Patnaik raises concern over reduction in State’s share in Central taxes in Union Budget
Bhubaneswar, 1/2 (AO Bureau): Odisha Chief Minister Naveen Patnaik reacted to the Union Budget 2021-2022. Naveen pointed out some of the positive points of the budget such as
- Focus on capital investment to push growth
- Reintroduction of developmental financial institution
- Allocation for COVID vaccine
- Industry and sector specific interventions offer hope if matched with the allocation
- Bold decision to expand a fiscal deficit to provide growth impetus.
- A medium and long-term vision for ‘Self-reliant India’
But, he also raised his concern over the fact that Odisha would be hit by the drastic reduction of share in central taxes by about Rupees Ten Thousand Eight Hundred Forty Crores for the current year, and as per the recommendations of the 15th Finance Commission, the horizontal share will decrease from 4.629 percent to 4.528 percent for coming 5 years. This will seriously impact the State.
Centralization of revenue by the introduction of cess in petrol and diesel will weaken the centre-state fiscal balance
He also expressed his pleasure to see Mission Shakti appear in the union budget focusing on women empowerment.
He also expressed his happiness to see the green budget replacing the budget.