Himachal Pradesh's Financial Clarity Under Scrutiny: CAG Report Insights

The CAG report highlights that the Himachal Pradesh government failed to submit 2,990 utilisation certificates for Rs 2,795.23 crore expenditure. Revenue receipts dropped to Rs 54,104 crore despite an increase in tax revenues. Liabilities increased substantially due to escalating internal debts and central loans.

The Comptroller and Auditor General of India's latest report criticizes the Himachal Pradesh government for not submitting 2,990 utilisation certificates amounting to an expenditure of Rs 2,795.23 crore. This lack of certificates raises questions about whether the funds were spent for their intended purposes.

In an unexpected fiscal twist, the state's total receipts decreased to Rs 54,104 crore for the fiscal year 2023-24, compared to Rs 60,556.70 crore in the previous year. This decline occurred despite rising revenue from taxes, as grants from the central government were reduced significantly.

Moreover, an analysis of the budget revealed unresolved fiscal issues, as liabilities surged due to increasing internal debts and central loans. The government's current financial practices might require clear restructuring to maintain economic stability in the state.

(With inputs from agencies.)