Funds available, but spending remains dismal

| | BHUBANESWAR
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Funds available, but spending remains dismal

Saturday, 19 September 2020 | PNS | BHUBANESWAR

While funds are available for undertaking normal developmental works, most of the departments have not achieved expected spending, posing a grave concern for the State Government.

Chief Minister Naveen Patnaik seemed worried over poor spending by major departments during last five months.It was pointed out at a review meeting that normal expenditure on programmes are needed to be taken up as funds are available.

Even as Rs 4,000 crore is available in the RIDF, infrastructure development has taken a back seat in rural areas as projects have not been taken up. As compared to last year till August, spending is less than 35 per cent during this fiscal till August 2020.

Major departments like Agriculture, Forest and Environment have spent much less. In MGNREGS, Odisha has spent Rs 2,800 crore while a comparatively small State like Chhattisgarh has been able to spend Rs 6,000 crore.Spending of OMBADC and CAMPA funds has also gone down, said officials.Funds are available with Central Schemes as the Union Government has provided at least Rs 6,000 Crore during this period, but implementing agencies’ reluctance in taking up projects has resulted in poor spending.

What has created the situation more serious is that many departments and organisations have parked funds in banks and reported that spending has taken place in programmes.It was revealed at a review meeting held by the Chief Secretary recently.

Utilisation of funds in agriculture and allied sectors is poor, which is 70 per cent less than the corresponding period of the last year.While extending credit facilities in the agriculture sector has gone down, the Chief Minister has directed the authorities to scale up the credit facilities for the farm sector.  The MSME sector has performed well in arranging credit for the entrepreneurs during the Covid-19 pandemic, said officials.

It has come to the notice of the State Government that majority departments like Agriculture and Forest are purchasing planting materials from Andhra Pradesh and north east States.

Accordingly, the Chief Secretary has asked the horticulture department to set up mega nurseries for generating planting materials. Sources said that the Forest Department has decided not to purchase planting materials from outside the State from the next year.

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