Unrest-hit economy of Manipur seeing improvement, says CM Biren Singh while presenting 2024-25 Budget

Asserting that normalcy is returning to the state, he expressed confidence that the improving trend of tax collection will continue during the current year.

“One of the casualties of the unrest is our economy. Reduced revenue collections, increased expenditure on security and relief operations, inflation, difficulties in the movement of goods and services, and difficulties in the implementation of projects and schemes among others were a few of the challenges that we faced. With normalcy returning to the state, our tax collection is showing a positive trend. I am confident that this improvement will continue during the current year,” he said.

Singh lauded the Central Government for providing necessary assistance, including fiscal resources and manpower, over the last one year. To make up for the revenue losses suffered by the state, the Centre approved special assistance for revenue loss of Rs 500 crore, he said.

Elaborating on the relief measure extended by the Centre, Singh said the Central government approved a relief package of Rs 101.75 crore as a one-time special assistance to run relief camps for people displaced due to the violence in Manipur. The amount released under this scheme was used to meet recurring expenditure on essential items, Singh added.

Another package among others was the approval of Rs 209.45 crore to run relief and rehabilitation schemes and for the rehabilitation of victims/persons affected by the ongoing law and order issues.

“The Central Government approved a Rs 145.18 crore scheme for providing 3,000 temporary shelters to displaced families. Another scheme approved by the Central Government is the scheme to provide compensatory packages to farmers. Under this scheme, an amount of Rs 38.6 crore has been approved. (Of the amount) Rs 18.91 crore has been released to date. This amount has been released for 3,483 farmers as of date,” he said.

On the rehabilitation measures, Singh said that the scheme for interim relief to people, whose houses had been burnt down, has been started by the Manipur government. The government has also sanctioned 25 per cent advance, amounting to Rs 15 crore, for release to the affected households.

The state, under the permanent housing scheme, has rolled out an initiative to build 5,000 permanent houses in the first phase for displaced persons whose houses had been burnt down. The scheme will cost the government Rs 375 crore.

In addition, the Chief Minister said, the state had created a Rs 10 crore State Corpus Fund to extend ex-gratia to the kin of the deceased and injured persons. He added, “This will ensure that there are no gaps in disbursing ex-gratia to the eligible next of kins of those persons who died in the unrest.”

As per the fiscal Budget 2024-2025, Manipur is estimating a total receipt of Rs 34,815 crore. The revenue receipts are estimated at Rs 27,716 crores and the capital receipts have been pegged at Rs 7,099 crore. The total estimate of the state’s own tax and non-tax receipts are Rs 2,470 crore and Rs 300 crore, respectively.

The Budget also mentioned that the state expects a total gross expenditure of Rs 34,899 crores out of the Consolidated Fund of the State. Total Revenue Expenditure has been estimated at Rs 20,628 crore. Capital outlay has been estimated at Rs 8,616 crore.