Bhubaneswar: The Odisha Cabinet on Thursday approved Rs.11,200 Crore supplementary budget for 2020-21 financial year. The supplementary budget will be tabled in the Odisha Legislative Assembly on 20th of this month.
The Odisha government had presented a Rs.1.5 lakh crore budget in February this year. After this supplementary budget, the size of this year’s state budget will be increased.
Last year, the Odisha government had tabled a Rs.8126 Crore supplementary budget after which the size of the state budget had increased to Rs. 1.47 lakh crore.
Meanwhile, the state finance Department is scheduled to begin the budget preparations from 15th of December 2020. To begin with, the department will begin pre-budget consultations with various stakeholders.
The Department has estimated that Odisha’s economic growth will contract by 1-2% in the current financial year mainly due the COVID-19 pandemic and economic disruptions related the lockdown. However, the state’s economy is likely to bounce back in the 2021-22 financial year with a 7% growth. The state government also expects 20-25 % drop in revenue collection in the current financial year.