Unrealistic Budgets and Mismanagement Plague Assam's Financial Planning

The CAG's report criticizes the Assam government's 2023-24 budget as unrealistic. It highlights overestimated budgetary assumptions, unutilized funds, and poor financial practices. The report calls for more realistic budgeting, better fund management, and accountability improvements to address persistent savings and ensure effective financial governance.

The Comptroller and Auditor General (CAG) has labeled Assam's 2023-24 budgetary assumptions as unrealistic and overestimated. The report highlights the approval of supplementary grants despite unutilized original funds.

The CAG report reveals that Assam incurred expenditures of Rs 1,39,449.66 crore against total grants of Rs 1,69,966.13 crore, resulting in a savings of Rs 30,516.47 crore, which equates to 17.95% of the total budget. These savings were mostly notional due to actual receipts being significantly lower than estimates.

Persisting financial mismanagement is evident as only 0.35% of savings were surrendered, depriving departments of potential funds. The CAG suggests formulating a realistic budget and improving allocation monitoring. Numerous unsubmitted Utilisation Certificates and annual accounts further illustrate inadequate budgetary accountability.

(With inputs from agencies.)