Demonetisation Impact Felt, But Judgement After Fiscal Year End Analysis: Odisha CS

12 January 2017

Soumya Ranjan Sahoo

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Bhubaneswar: As the Chief Secretary of Odisha has begun his annual review of all departments in turn since Wednesday (January 11) with the onset of the new year 2017 in a bid to delve into the concerned departmental progress, he, on Thursday, reviewed the activities of Finance Department.

Briefing media after the review, Aditya Prasad Padhi, Chief Secretary, Odisha said, “Finance Department is an important wing of Odisha. It has also got link with other departments of the State Administration. That’s why its importance holds credence in our Government’s system. In our State, Finance Department has done lots of innovative activities, particularly in treasury system for which we are considered as one of the leading States in the country. Similarly, other programmes are also there, like our pension management system, computerisation of different activities in Government. Already they have performed well and at today’s annual review, I’ve instructed them to pace up more activities this year.”

On being queried about the post demonetisation effect on State’s financial activities, the Odisha Chief Secretary told media, “We’ve analysed for the month of December. But, we have to wait and watch till the end of the fiscal year to come to a conclusion on its impact. It would not be wise to comment on the impact in a month or two. Impact has certainly been felt, but we have to wait till the end of fiscal year to pass any judgement or comment.”

Tuhin Kant Pandey, Secretary, Finance said, “Our department has two sides-receipt and expenditure. That was reviewed today. Our expenditure side is moving well. In comparison to last year, our expenditure has increased. Whatever funds required by the respective departments have been allocated. On the receipt side, growth has been observed in the Revenue receipt. However, our growth has slowed in certain taxes. On the mineral royalty growth has slumped as valuation of mineral has gone down. As last year mining renewals were more, stamp registration duty collection had increased. This time it has lowered comparatively. Demonetisation impact has been felt in a month. It’s to be seen what impact it has in the next months. So, there is pressure on revenue collection. We hope that recovery will be noticed in the next two-three months.”

Notably, the Odisha Finance Secretary had earlier informed media that in comparison to November, revenue collection went down to about 11 percent due to demonetisation impact.

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Aditya Prasad Padhi, Chief Secretary, Odisha

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Tuhin Kant Pandey, Secretary, Finance, Odisha