Gujarat Budget 2023: ₹5 lakh crore infra push; no new taxes proposed

Gujarat Finance Minister Kanubhai Desai on Friday presented the state budget of Rs 3.01 lakh crore for the fiscal year 2023-24.

This is the first Assembly session of the Bhupendra Patel-led BJP government after winning 2022 state polls with a historic mandate of 152 seats. The budget for the financial year 2023-24 is 23.38 per cent higher than the previous year. As per state estimates, this is a surplus budget of Rs 916.87 crore with the revenue receipts expected to be Rs 2,07,709.88 crore while the revenue expenditures likely to be Rs 1,98,671.58 crore.

No new taxes were levied on the citizens in this budget. FM Desai in his speech said, “The Budget will focus on ease of living of people. The state government will spend Rs 2 lakh crore in next five years for the betterment of poor people. Various schemes like 150 new centres to provide meals to labourers at Rs 5 under Shramik Annnapurna Yojana will be undertaken by the government.” He said the government also doubled the insurance coverage under Pradhan Mantri Jan Arogya scheme from Rs 5 lakh to Rs 10 lakh, and announced two free LPG cylinders per year to the Ujjwala scheme beneficiaries. Shri Anna will be accommodated at fair price shops. Rs 58 crore has been allotted for Divyang Pension Yojana.

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Health & family welfare

The loan of Rs 4200 crore from World Bank will be spent on various healthcare schemes. Apart from this, Rs 15182 crores were allotted for health and family welfare sector. Medical colleges will be brought under the PPP model for better administration. Rs 55 crore has been allocated for expanding the free ambulance services in the state. New medical colleges are proposed to come up at Chhota Udepur, Mahisagar and Dang district which are all tribal dominated. Apart from this, five new nursing colleges will come up in the state.

Education

The minister said Rs 43631 crore were allocated for education sector. The government will set up 20,000 new computer labs along with 50,000 new classrooms. Besides, Rs 109 crore were kept aside for Mission School of Excellence, a scheme launched by Prime Minister Narendra Modi in October 2022. Gyan Setu Schools were allotted Rs 64 crore under PPP model. Every taluka and municipal corporation will have at least one Gyan Setu School which will admit about 500 students from Class 6 to 12.

Home Department

An allocation of Rs 8574 crore has been made for the Home Department. Apart from other welfare and development schemes, a women’s battalion will be raised in State Reserve Police for the first time in Gujarat.

Infrastructure

In a major boost for infrastructure, the state government plans to spend around Rs 5 lakh crore on development of infrastructure facilities in the next five years. In the fiscal year 2023-24, Rs 8086 crore were allocated for urban infrastructure development across the state. Similarly, Rs 3514 crore were allotted for port and logistics, Rs 905 crore for the new metro rail project in Surat, and Rs 297 crore for Bhavnagar port traffic. Ahmedabad Metro Phase -II has been made an allocation of Rs 18,000 crore.

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Apart from this, Rs 215 crore were allotted for developing airports and airstrips. New airports will come up at Dwarka, Gir Somnath while the airport at Keshod in Junagadh district will be revamped. An allocation of Rs 20642 crore has been made for roads and housing. Two highways connecting Ahmedabad and Gandhinagar (Sarkhej Gandhinagar highway) and Central Gujarat and Saurashtra region (Bagodara highway) will be upgraded to six lanes from the existing four lanes. Rs 2808 crore were allocated for Pradhan Mantri Gram Sadak Yojna. The government has allocated Rs 250 crore for development and modernisation of Science City, a science park in Ahmedabad.

Apparel, ceramic and bulk drug parks will come up in various parts of Gujarat to boost the sectors and give better infrastructure support. Announcing an overall budget of Rs 76 crore for the GIFT city in Gandhinagar, Desai said, “GIFT city is steadily becoming the new finance hub of the country replacing Mumbai.” The FM also announced an additional budget of Rs 150 crore for new riverfront along the Sabarmati river around the GIFT city.

Noticeably, the Budget Session of the Assembly that commenced on February 23 will end on March 29.