COVID-19 effect: State Spending plan figures most likely to go through enormous modification
Now, the unmatched economic shutdown to contain the COVID-19 pandemic has left the State’s financial resources literally in disarray, making the 2.37 lakh crore budget for 2020-21 a non-starter. A few of the government’s key jobs, like helping restore incomes in the 13 districts where losses due to floods and rains last September are estimated to be about35,000 crore, have been surpassed by the present crisis.
No pay cut yet
In the meantime, the federal government has decided not to cut wages of its staff members for the month of April, and has actually directed departments to guarantee that there is no default on payments. It has actually asked departments not to sustain any other expenditure or implement any monetary proposals. On an average, the month-to-month wage and pension bill has to do with 5,000 crore while the yearly interest repayment has to do with22,216 crore. The State’s annual dedicated expense that makes up salaries, pensions and interest stands at81,000 crore, with a10,000 crore boost in the wage bill having been included just this financial y