July 2020, South Asia

While the State Government provided more money in Annual Budget,2020, spending during first quarter of the fiscal has come down due to adverse impact of Novel Corona Virus (Covid-19) pandemic.

Latest Financial Analysis reveals that total expenditure as percentage of Annual Budget provision was little more than 14 per cent till June, 2020 which is over 11per cent lower than that of 2019.

While agriculture sector provides livelihood for 60 percent of State’s population and serves the needs of the entire population, spending in the crucial sector has gone down drastically.

Latest Status Report on State Finances has revealed that utilization of funds in agriculture and allied sector was nearly 6.5 per cent by end of June, 2020.

Officials admit that due to Covid 19 pandemic, expenditure in the primary sector has gone down.

Several Lockdowns have adversely impacted the agricultural operations and linkage between farmers, traders and market were severely compromised. It was expected that the State Government will pump in resources in the sector; however, with lower spending in agriculture and allied sector, now it has come to the fore that authorities are yet to expedite spending.

Small and marginal farmers were facing cash crunch. They expected that the Government will release funds in Krushak Assistance for Livelihood and Income Augmentation (KALIA) Scheme but in vain. The KALIA Scheme was launched by the Odisha Government for farmer’s welfare.