Sukhu Government in Himachal faces a grim fiscal situation

Opposition BJP is expected to criticize the Congress government in Himachal Pradesh on the constructive agenda but Sukhvinder Singh Sukhu’s government succeed to tweaked with meager state resources by further burdening it with creating undesirable top-heavy governance as no one is questioning the government on the public interest issue.

According to economic experts, the Congress government could not disburse salaries to 15000 Employees of the board and Corporation as stated despite indulging in overdraft in the first quarter of this financial year of tune to Rs 1000 Crore couldn’t able to meet both ends.

The government required Rs 155 Cr per day for the disbursement of salaries and other liabilities however state receipt if calculated per day is hardly Rs 145 Cr which shows that government revenue receipt renders a loss of more than Rs 300 Crore per month which is self-reflected by the overdraft. 

The government passed the budget five months ago and couldn’t explain why it is indulged in shortfall. Does money designated for the state liabilities fall short or does the Government estimate of increasing additional resources fall short.

It is opened truth that the Sukhvinder Singh Sukhu government is spending behind the means and extra-constitutional authority and political functionary are appointed and being provided state resources recklessly.

The Government is doing a flip-flop over the creation of state resources and spending them recklessly. Six officers including two advisors and OSD and each CM personal staff were posted in Delhi. There is no use in increasing Himachal Pradesh Sadan and Bhawan charges to Rs 1200 per day as six officers were being posted in Delhi.

It is not very hard to understand the economic mess as the face of debit ridden Himachal Pradesh Government in New Delhi is exposed.

It is worthwhile to mention that among six officers of the Himachal Pradesh Government posted are  Sushil Kumar Singla,  (IFS 94) Principal Resident Commissioner, Himachal Sadan, New Delhi, Smt. Meera Mohanty (IAS 2005) Resident Commissioner, Himachal Bhawan, New Delhi, Smt. Nandita Gupta (IAS 2001) Advisor (Coordination) Government of Himachal Pradesh, Himachal Sadan, New Delhi. Kuldeep Singh Banshtu, Officer-on-Special Duty (OSD) to CM Himachal Pradesh, at Himachal Bhawan, New Delhi,  Gurinder Singh Guleria, Officer Coordination, (personal staff of CM) posted at Himachal Bhawan, New Delhi and  Rammi Jhigan, Officer Coordination (Personal Staff of CM) posted at Himachal Bhawan, New Delhi.

A perception is emerging that politicians and Bureaucrats are plundering the state for many years expected to curb government expenses and need to spend judicially as per capita debt is increasing daily. 

The state government inherited a debt of Rs 75000 Cr from the previous government likely to take loans tunes to Rs 9000 Crore moreover it was making a hue and cry on reducing the borrowing limit of the state from Rs 14500 Cr to Rs 9000 Crore. One could understand the net borrowing of the Sukhu government if it keeps on taking loans up to Rs 9000 Cr per annum.

Sukhvinder Singh Sukhu’s government appointed six chief Paralimentary secretaries and a number of OSDs and advisors expected not to bother to take borrowing and create useless infrastructure from the government lending which is laying vacant.

Now hope that wisdom would prevail and the state government would realize the economic mismanagement it is indulged it should follow financial disciplines and be squeezed to keep a reign on the bureaucracy which never bothers to tweak the state’s meager resources for unproductive expenditure.

Increasing income from legalizing cannabis, utilization of salvaged trees in the forests, and increasing income by selling tourism properties, etc is not the solution to a serious economic emergency that is self-created to some extent.

The flight of industry and hydropower projects from the state despite getting various incentives and burdening the state coffer to the tune of Rs 1500 Crore litigation and returning upfront premium and 15 percent rate of interest are ruining the state economy.

The productivity of government, ministers, bureaucracy, and employees should be evaluated vis a vis to resources spend on them the notion of the state serving as the biggest employer should be strictly followed with a targeted increase in the GDP. The state resources are draining on useless sectors which are a burden on the state. The Government should spend more on the high-value assets added gross value to the state GDP.