PART II: BUDGET HIGHLIGHTS

The State Budget presented by the Hon?ble Finance Minister, Thiru Anbazhagan on March 20, 2008 has the following highlights.

INDUSTRY

SEZs to be established in the industrially backward areas of the State, namely, transport engineering goods SEZ at Gangaikondan in Tirunelveli District, automobile and auto spare parts SEZ at Cheyyar in Tiruvannamalai District, engineering goods SEZ at Perunthurai in Erode District and leather Sector SEZ at Ranipet in Vellore District.
   
SEZs to be established in the industrially backward areas of the State, namely, transport engineering goods SEZ at Gangaikondan in Tirunelveli District, automobile and auto spare parts SEZ at Cheyyar in Tiruvannamalai District, engineering goods SEZ at Perunthurai in Erode District and leather Sector SEZ at Ranipet in Vellore District.
   
SEZs to be established in the industrially backward areas of the State, namely, transport engineering goods SEZ at Gangaikondan in Tirunelveli District, automobile and auto spare parts SEZ at Cheyyar in Tiruvannamalai District, engineering goods SEZ at Perunthurai in Erode District and leather Sector SEZ at Ranipet in Vellore District.

INFRASTRUCTURE

A sum of Rs.2,816 crores has been allocated for capital expenditure on improvement of roads and bridges.
   
Power transmission and distribution infrastructure in the State to be improved at a cost of Rs.1,720 crores. 90 new electrical sub stations to be installed.
   
Water supply schemes to be implemented in 10,000 rural habitations at a cost of Rs.506 crores. Water supply improvement schemes to be implemented in 60 towns.

AGRICULTURE

Reduction in interest on crop loan taken from cooperative banks, from 5 percent to 4 percent.
   
Food production for 2007-08 is estimated to cross 100 lakh tons from 82.63 lakh tons in 2006-07. The Tamil Nadu Government has provided an additional incentive price of Rs.50 per quintal over and above the incentive price of Rs.100 per quintal announced by the Union Government, thus enhancing the procurement price of fine variety of paddy to Rs.825 per quintal.
   
The National Food Security Mission in respect of paddy and pulses covers five districts and 12 districts respectively. The National Horticultural Mission, which encourages the farmers to grow high income generating horticultural crops, now covers 20 districts in the State.
   
The irrigated agriculture modernisation and water-bodies restoration and management (IAMWARM) project has been extended to another 16 sub-basins, in addition to the nine sub-basins where it is being currently undertaken. In the next two years, about 9.4 lakh acres of land would be benefited.
   
The state is undertaking several river linking projects out of its own funds. Two of the schemes are the Cauvery – Agniar – Koraiyar – Pambar – Vaigai – Gundar inter linking scheme and the Tamirabarani – Karumeniyar – Nambiar linking project.

EDUCATION

After having achieved universal primary education, the state aims to achieve universal secondary education during the Eleventh Plan.
   
New engineering colleges to be established through Anna Universities at Tindivanam, Villupuram, Panruti, Nagapattinam and Ramanathapuram.
   
In accordance with this Government’s objective that a medical college must be established in every district of the State, two new medical colleges will be established at the district headquarter towns of Sivaganga and Perambalur.

HEALTHCARE

Upgradation of 227 government hospitals under the Tamil Nadu Health Systems Project.

PLAN OUTLAY

The State’s outlay for the Eleventh Five Year Plan has been approved for Rs.85,344 crores. The Annual Plan for 2008-2009 to be implemented with an outlay of Rs.16,000 crores.

RECEIPTS AND EXPENDITURE


The total revenue receipts of the Government for 2008-2009 is estimated at Rs.51,505.62 crores and the total revenue expenditure is estimated at Rs.51,421.57 crores.
   
The total capital expenditure of the Government, including loans and advances (net) in 2008-2009 is projected at Rs.9,876.35 crores.
   
Fiscal deficit estimated at Rs.9,792.30 crores.

 
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