Finance minister Pranab Mukherjee today presented Budget estimates for 2010-11 that provide for a total expenditure of Rs11,08,749 crore, including Rs3,73,092 crore plan expenditure and Rs7,35,657 crore non-plan expenditure.
The plan expenditure has increased by 15 per cent while non-plan expenditure has gone up by only 6 per cent in the 2010-11 plan.
The total receipts are estimated at Rs7,46,651 crore and the government has pegged the fiscal deficit at 5.5 per cent.
In the medium term fiscal policy statement being presented along with other Budget documents in the House today, the finance minister has projected rolling targets for fiscal deficit, pegged at 4.8 per cent and 4.1 per cent for 2011-12 and 2012-13, respectively. These target projections improve upon the recommendations of the Thirteenth Finance Commission.
There is a need to review public spending in the backdrop of government's rising fiscal deficit and outgo on stimulus action, Mukherjee said, adding that more resources have also to be mobilised to build up productivity to keep up the momentum of recovery that has already set in.