How is Gujarat CM Bhupendra Patel Evaluating Budget Execution in State Departments?

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How is Gujarat CM Bhupendra Patel Evaluating Budget Execution in State Departments?

Synopsis

In a recent high-level meeting, Gujarat's Chief Minister Bhupendra Patel evaluated the initial quarter's budget execution across state departments. With key officials present, the discussion emphasized welfare schemes and development initiatives aligned with Prime Minister Modi's vision. The meeting highlighted a significant increase in fund utilisation and a commitment to achieving 100% beneficiary coverage.

Key Takeaways

  • 23.4% increase in expenditure in the first quarter.
  • Over 98% of budget approvals issued within the quarter.
  • Capital outlay reached Rs 75,700 crore, a 29% increase.
  • Focus on achieving 100% coverage for welfare schemes.
  • Fiscal deficit target set at 1.9% of GSDP.

Ahmedabad, July 23 (NationPress) In a pivotal review meeting convened with senior secretaries from various state departments, Gujarat Chief Minister Bhupendra Patel scrutinised the initial quarter's performance of government bodies against the budgetary provisions set for this fiscal year.

Present at the meeting were Finance Minister Kanu Desai, Principal Advisor to the CM Dr. Hasmukh Adhia, and Chief Secretary Pankaj Joshi.

CM Patel accentuated the importance of synchronising departmental progress with the overarching vision of Prime Minister Narendra Modi’s “Viksit Bharat” initiative, alongside Gujarat’s pledge to lead in this developmental trajectory.

He urged for a saturation strategy for welfare schemes to achieve 100% coverage of eligible beneficiaries.

The Chief Minister also championed the prompt and effective execution of developmental initiatives in alignment with the “Viksit Gujarat” framework.

During the assembly, the Finance Department disclosed a 23.4% increase in expenditure for the first quarter when compared to the same timeframe last year, underscoring a more rapid pace of fund utilisation across departments.

Moreover, it was disclosed that over 98% of administrative approvals for new budget heads had already been granted within this quarter.

Since the fiscal year 2020–21, Gujarat’s budget has demonstrated a significant transition towards increased capital expenditure, rising committed spending, and judicious fiscal management, as per official reports. In the 2024–25 budget, total outlays (excluding debt) are estimated at Rs 2.99 lakh crore, reflecting a 16% increase over the previous year; anticipated revenue receipts stand at Rs 2.47 lakh crore, with a fiscal deficit target maintained at 1.9% of GSDP—substantially below the 3.5% FRBM ceiling.

The state’s capital outlay surged by 29%, reaching approximately Rs 75,700 crore, while revenue expenditure expanded by 11%, nearing Rs 2.20 lakh crore. Roughly 46% of revenue receipts are now consumed by committed spending on salaries, pensions, and interest—indicating a tightening discretionary fiscal space.

According to a statement, Gujarat continues to sustain a revenue surplus (+0.4% of GSDP) and an improved debt situation, with relatively low fiscal and primary deficits compared to median states. The budget also prioritises welfare initiatives—such as scholarships under “Namo Laxmi/Saraswati”, expansion of anganwadis, and nutritional missions—as well as infrastructure projects under the Vibrant Gujarat Summit.

Point of View

We recognize Gujarat's proactive approach under CM Bhupendra Patel in budget implementation. This meticulous review demonstrates a commitment to efficient governance and welfare, crucial for the state's progress. The focus on aligning with national goals positions Gujarat as a leader in fiscal responsibility and development.
NationPress
24/07/2025

Frequently Asked Questions

What was the purpose of the meeting chaired by CM Bhupendra Patel?
The meeting aimed to evaluate the first-quarter budget implementation by various state departments and ensure alignment with the broader development vision of 'Viksit Bharat'.
What significant financial change was reported during the meeting?
A 23.4% increase in expenditure compared to the same period last year was reported, indicating a faster pace of fund utilization.
What is the capital outlay for Gujarat in the 2024-25 budget?
The capital outlay for Gujarat in the 2024-25 budget is approximately Rs 75,700 crore, representing a 29% increase.
How does Gujarat's budget prioritize welfare schemes?
The budget prioritizes welfare schemes such as scholarships, expansion of anganwadis, and nutritional missions, alongside infrastructure projects.
What is the fiscal deficit target for Gujarat?
The fiscal deficit target for Gujarat is maintained at 1.9% of GSDP, which is below the 3.5% FRBM ceiling.