PARRIKAR GOVT TO BORROW Rs 200 CR

the goan I network
PANAJI
After being hit by the GST and with no increase in revenue, the State government will now borrow Rs 200 crore to manage its general expenses.
This comes barely two days after Chief Minister Manohar Parrikar had admitted there was no increase in revenue of the State after GST came into force.
"The government will borrow Rs 200 crore sometime before Diwali. But despite this, the government has managed to maintain its financial position," a reliable source told The Goan.
"The government has managed to control the situation to keep a check on the fiscal deficit. So far, the government is continuing with its infrastructure projects and social schemes. Although there is no increase in mining business and GST did not increase the State's revenue, the government managed to keep its financial condition in control," the source added.
According to the source, the government is liable to seek a loan of Rs 2,100 crore during the current financial year.
"Of this quota, the government availed of a loan of Rs 600 till September and it will now seek an additional Rs 200 crore very soon," the source added.
Speaking to reporters two days ago, Parrikar had said that revenue had fallen to about Rs 30-40 crore after the GST implementation, in comparison to amount it received during the VAT system.
"After the GST was implemented, the contribution that the State receives from the central government got delayed," the source said.
"Earlier, the State would get its share from the Central government on the third or fourth day of the month. But now, this share has been delayed till the 15th of the month. As a result, the government decided to borrow Rs 200 crore to manage its expenditure during this period," the source added.