Welfare Schemes Hit by Fund Shortage

The state government could not fully utilize the funds allocated for several welfare schemes during the last financial year. According to the Comptroller and Auditor General (CAG) report released in March, lower-than-expected revenue collections were the main reason behind the shortfall. Despite increasing borrowings, the government was forced to reduce spending on multiple schemes.

Under the Rythu Bharosa scheme, the government allocated ₹18,000 crore but spent only ₹14,397 crore. For the Cheyutha scheme, ₹14,861 crore was allocated, while only ₹11,400 crore was utilized. The Indiramma Housing Scheme received an allocation of ₹12,571 crore, but only ₹5,400 crore was released. Schemes such as Rajiv Yuva Vikasam and Indiramma Athmeeya Bharosa are yet to be launched.

Although the government raised massive loans, revenue collections remained weak. Income from registrations, non-tax revenue, and central grants fell short of expectations. While the government initially planned to borrow ₹54,000 crore from the open market, total borrowings crossed ₹77,000 crore by the end of the financial year. Even then, the government failed to meet its expenditure targets, the CAG report noted.