Per Capita Expenditure from the State Budget
State Governments are responsible for delivering a range of public sector services, development programmes and schemes, and law and order, among other things. Hence, it is important to assess and compare their budgetary spending in relation to their populations. Per capita (per annum) expenditure from the State Budget has been calculated by dividing the State's total budgetary outlay in 2021-22 (BE) by its projected population. Comparing across States, we find that per capita expenditure varies significantly: from Rs. 1,38,653 per annum in Goa to Rs. 17,648 per annum in Bihar. States’ per capita expenditure (per annum) depends on their fiscal capacity, which in turn depends on several factors such as their ability to raise taxes, sources of non-tax revenue, ability to borrow, transfers from the Centre and others.
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Source: (i) Budget at a Glance/Budget Brief/Budget Summary; (ii) Population Projection Report, Ministry of Health & Family Welfare (2020)
Notes:
1: Sikkim and Arunachal Pradesh are not included here as the relevant budget data was not available at the time of compilation.
2: For Assam, Tamil Nadu and Mizoram, total expenditure has been taken from the respective Annual Financial Statement.
3: For Tamil Nadu and West Bengal, the budget documents referred to for FY 2021-22 are from the Vote on Account.
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Copyright: Centre for Budget and Governance Accountability (CBGA) 2021
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