Jharkhand Govt failed to submit utilization certificates for ₹1.33 lakh crore Central grant: CAG Report
THE JHARKHAND STORY NETWORK Advertisement Advertisement Ranchi, August 25: The Jharkhand government failed to submit utilization certificates for ₹1.33 lakh crore…
THE JHARKHAND STORY NETWORK
Ranchi, August 25: The Jharkhand government failed to submit utilization certificates for ₹1.33 lakh crore in central grants within the stipulated timeframe. In addition, it has not provided details of expenditure related to an advance withdrawal of ₹4,891.72 crore.
These findings have been highlighted in the report of the Comptroller and Auditor General of India (CAG).
Three CAG reports were presented in the Jharkhand Assembly during the Monsoon Session, including one related to the state’s financial accounts for the fiscal year ending March 31, 2024.
The report stated that the government is required to furnish utilization certificates for central grants after the conclusion of each financial year.
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However, the audit revealed that despite receiving ₹1.33 lakh crore in central assistance, the state did not provide the mandated certificates to the Centre on time. For this expenditure, the state was supposed to submit 47,367 utilization certificates.
Decline in Central Grants
The report also noted a sharp decline in central assistance to Jharkhand over the past four years. In 2019–20, central grants accounted for 21.06% of the state’s revenue, but this figure dropped to 10.40% in 2023–24.
During the 2023–24 fiscal year, the state received only ₹6,266.71 crore as the central share in centrally sponsored schemes.
Lack of Accountability in Advance Withdrawals
The CAG further pointed out that treasury rules allow the government to make advance withdrawals for urgent expenditures, but a detailed account must be submitted by the following month.
The audit found that the state government has yet to provide details of ₹4,891.72 crore withdrawn in advance.
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Economic Indicators Show Growth
Despite these lapses, the report highlighted positive economic indicators. Jharkhand’s Gross State Domestic Product (GSDP) grew by 10.46% in 2023–24 compared to the previous year. Total revenue rose by 9.57%, while revenue from the state’s own sources grew by 11.49%.
Government expenditure increased by 19.58% over the same period, with revenue expenditure rising by 14.99%.
Fiscal Deficit Narrows
The state’s fiscal deficit has also reduced over the past four years. In 2019–20, the fiscal deficit stood at 2.59% of GSDP, which declined to 1.37% in 2023–24.
This is considered a positive sign for Jharkhand’s economy, as the Fiscal Responsibility and Budget Management (FRBM) Act mandates that fiscal deficit should remain within 3% of GSDP.
