Guwahati, Mar 10 (PTI) The average annual borrowings by the Assam government increased by nearly 78 per cent over three years from 2019-20, while growth has slowed down for GSDP and per capita income during the current fiscal compared to the preceding year, according to the state's Economic Survey report for 2024-25.

The report, tabled in the state assembly on Monday, said the borrowing of the state government was Rs 16,634.53 crore in 2019-20. It increased to Rs 30,510.80 crore in 2022-23, with an annual average growth of 77.92 per cent over the previous year.

It said that as per advance estimates, the nominal GSDP at current prices for 2024-25 is likely to be Rs 6.43 lakh crore as against Rs 5.70 lakh crore in 2023-24, reflecting a growth of 12.74 per cent.

According to figures mentioned in the budget speech of Finance Minister Ajanta Neog, the state’s GSDP growth was 19 per cent in 2023-24 compared to the preceding year, indicating a fall in the projected annual growth rate for 2024-25.

The Economic Survey report further said that the state has improved its share in the country’s GDP at current prices, recording a rise from 1.65 per cent in 2016-17 to 1.99 per cent in 2024-25.

It said as per the advance estimates, the per capita income of the state at current prices for 2024-25 is Rs 1,54,222, compared to Rs 1,39,783 for 2023-24, registering an increase of 10.33 per cent.

The finance minister said in her budget speech that the year-on-year growth in per capita was 17 per cent in 2023-24.

The Economic Survey report said the state’s revenue receipts for 2024-25 are expected to be around Rs 1.11 lakh crore against Rs 1.17 lakh crore in 2023-24, with a decrease of 4.35 per cent.

It noted a ‘significant improvement’ in collection of tax revenue from 2012-22 to 2023-24 "due to various measures taken by the government to augment its own tax resources".

The collection of non-tax revenue has also "increased tremendously due to the collective effort of the state government", the report said.

The share of central fund of total revenue receipts was 50.88 per cent in 2022-23 and it is expected to receive 62.42 per cent in 2024-25.

Total revenue expenditure was Rs 82,000 crore in 2021-22 and it is expected to increase to Rs 1.18 lakh core in 2023-24, with an annual average growth of 16.32 per cent.

“However, the major share of revenue expenditure of the state government has to be incurred for payment of the salary and pension of the employees,” the report added.

In 2024-25, the total amount spent under salary head and pension head was 30.87 per cent and 16.18 per cent respectively of the total revenue expenditure. PTI SSG TR SSG NN

State borrowing surge stresses fiscal space, slows GSDP and per capita growth, and raises dependence on central transfers. Assam's average annual borrowings rose substantially through 2022-23, while nominal GSDP and per capita income growth are projected to increase in 2024-25 but at slower rates than the prior year. Total revenue receipts for 2024-25 are forecast lower than 2023-24, with a marked rise in the share of central funds. Improved tax and non tax collections coexist with rapidly growing revenue expenditure, a large share of which is absorbed by salary and pension payments, reducing fiscal space for other spending.