(a) whether the Government are aware that there has been an all round deterioration in the finances in the first quarter of the current financial year in comparison to the corresponding period of last year;
(b) if so, the factors responsible for such an all round deterioration in the finances of the Union Government;
(c) whether the Government have taken/propose to take steps to improve the financial position in the next few months;
(d) if so, the details thereof?
FINANCE MINISTER (SHRI YASHWANT SINHA)
(a) to (d) : A statement is laid on the Table of the House.
Statement referred to in the Lok Sabha Starred Question No.478
regarding Government Finances by Shri N. Janardhana Reddy and
Smt. Shyama Singh for answer on 24.8.2001.
(a) & (b): The gross fiscal deficit of the Central Government during the period April-June, 2001, at Rs.42198 crore was 36.3 per cent of the budgeted estimate of 2001-02 compared with Rs.25073 crore, constituting 22.5 per cent of the budgeted amount for the corresponding period last year. The higher fiscal deficit during April-June, 2001 mainly reflects contraction in net revenue receipts after devolution of Central taxes to the States and also front loading of certain expenditure including advances to States.
(c) & (d): The trends in the Central Government finances are closely monitored, kept under constant review and appropriate measures are taken in the light of emerging trends as and when necessary.