Chief Minister K. Chandrasekhar Rao has directed officials of the Finance department to conduct a mid-term review of the annual budget for the current year to reassess the financial position of the government.
The review was mandated as the State faced a major cut in the releases from the Central government following the novel coronavirus (COVID-19) pandemic. The State’s revenue and income had been adversely affected due to the lockdown imposed on account of COVID-19.
There was also cut in the funds from the Centre receivable by the State. The Centre’s GDP had dropped to negative (-24 per cent) and this had a major impact on the States. Given these circumstances, there was a need to prepare estimates on how much funds were actually available so that a decision could be taken on the quantum of funds that could be allotted to departments.
Accordingly, he directed the officials to conduct a review of the budget and submit a report.
