West Bengal Budget Analysis 2024-25 | WBCS Preparation: All Subjects - WBCS (West Bengal) PDF Download

 Page 1


 
 
 
 
 
    
      
    
West Bengal Budget Analysis 
2024-25 
The Finance Minister of West Bengal, Ms. Chandrima Bhattacharya, presented the Budget for the state for the 
financial year 2024-25 on February 8, 2024. 
Budget Highlights 
? The Gross State Domestic Product (GSDP) of West Bengal for 2024-25 (at current prices) is projected to 
be Rs 18.8 lakh crore, amounting to growth of 10.5% over 2023-24. 
? Expenditure (excluding debt repayment) in 2024-25 is estimated to be Rs 3,04,689 crore, an increase of 
13% over the revised estimates of 2023-24.  In addition, debt of Rs 61,427 crore will be repaid by the state. 
? Receipts (excluding borrowings) for 2024-25 are estimated to be Rs 2,36,438 crore, an increase of 13% as 
compared to the revised estimate of 2023-24.   
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), similar to the revised estimates 
for 2023-24 (1.7% of GSDP).  In 2023-24, the revenue deficit was budgeted to be marginally higher (1.8% of 
GSDP). 
? Fiscal deficit for 2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore).  In 2023-24, as per the revised 
estimates, fiscal deficit is expected to be 3.5% of GSDP, lower than the budget estimate (3.8% of GSDP).  
Policy Highlights 
? Lakshmir Bhandar:  Financial assistance under the scheme will be increased to Rs 1,200 per month for 
women from SC/ST communities and to Rs 1,000 per month for women from other categories.  After 60 
years of age, the beneficiaries will get the same financial assistance under the old age pension scheme.  
? Karmasree scheme:  The state government will provide at least 50 days of work to MGNREGA job card 
holders under the scheme from May 2024 onwards.   
? Agriculture:  For promoting modern farm machinery, 2,000 farm machinery hubs and custom hiring 
centres will be set up at the gram panchayat level in next two years.  Rs 450 crore has been allocated for 
setting up these centres.  Rs 200 crore has been allocated for setting up 1,200 farmer producer organisations 
to supply seeds and enhance market connectivity of agriculture produce. 
? Taruner Swapno:  One-time financial assistance of Rs 10,000 will be provided for students in class 11 for 
purchasing smartphones or tablet computers.  Rs 900 crore has been allocated under the scheme.  
? Thermal power:  Four super critical thermal power units will be setup with an aggregate capacity of 2,920 
MW.  The project cost is estimated at Rs 23,360 crore over the next four years.  
   
West Bengal’s Economy 
? GSDP:  In 2022-23, West Bengal’s GSDP (at 
constant prices) is estimated to grow by 8.4% over 
the previous year.  In comparison, India’s GDP is 
estimated to grow by 7.2% in 2022-23.  
? Sectors:  In 2022-23, agriculture, manufacturing, 
and services sectors are estimated to contribute 20%, 
23%, and 57% of West Bengal’s economy, 
respectively (at current prices). 
? Per capita GSDP:  In 2022-23, West Bengal’s per 
capita GSDP (at current prices) is estimated to be Rs 
1,57,254, an increase of 13% over 2021-22.  In 
2022-23, India’s per capita GDP is estimated to 
increase by 15% over 2021-22 to Rs 1,96,983. 
 
Figure 1: Growth in West Bengal’s GSDP at 
constant prices (2011-12)  
 
Note: These numbers are as per constant prices (2011-12) 
which implies that the growth rate is adjusted for inflation. 
Sources: MoSPI; PRS. 
2.0%
0.7%
5.7%
3.1%
1.7%
-6.7%
-8.7%
-6.6%
2.1%
20.9%
9.4%
10.8%
1.7%
8.1%
11.4%
8.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Agriculture Mfg Services GSDP
2019-20 2020-21 2021-22 2022-23
Page 2


 
 
 
 
 
    
      
    
West Bengal Budget Analysis 
2024-25 
The Finance Minister of West Bengal, Ms. Chandrima Bhattacharya, presented the Budget for the state for the 
financial year 2024-25 on February 8, 2024. 
Budget Highlights 
? The Gross State Domestic Product (GSDP) of West Bengal for 2024-25 (at current prices) is projected to 
be Rs 18.8 lakh crore, amounting to growth of 10.5% over 2023-24. 
? Expenditure (excluding debt repayment) in 2024-25 is estimated to be Rs 3,04,689 crore, an increase of 
13% over the revised estimates of 2023-24.  In addition, debt of Rs 61,427 crore will be repaid by the state. 
? Receipts (excluding borrowings) for 2024-25 are estimated to be Rs 2,36,438 crore, an increase of 13% as 
compared to the revised estimate of 2023-24.   
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), similar to the revised estimates 
for 2023-24 (1.7% of GSDP).  In 2023-24, the revenue deficit was budgeted to be marginally higher (1.8% of 
GSDP). 
? Fiscal deficit for 2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore).  In 2023-24, as per the revised 
estimates, fiscal deficit is expected to be 3.5% of GSDP, lower than the budget estimate (3.8% of GSDP).  
Policy Highlights 
? Lakshmir Bhandar:  Financial assistance under the scheme will be increased to Rs 1,200 per month for 
women from SC/ST communities and to Rs 1,000 per month for women from other categories.  After 60 
years of age, the beneficiaries will get the same financial assistance under the old age pension scheme.  
? Karmasree scheme:  The state government will provide at least 50 days of work to MGNREGA job card 
holders under the scheme from May 2024 onwards.   
? Agriculture:  For promoting modern farm machinery, 2,000 farm machinery hubs and custom hiring 
centres will be set up at the gram panchayat level in next two years.  Rs 450 crore has been allocated for 
setting up these centres.  Rs 200 crore has been allocated for setting up 1,200 farmer producer organisations 
to supply seeds and enhance market connectivity of agriculture produce. 
? Taruner Swapno:  One-time financial assistance of Rs 10,000 will be provided for students in class 11 for 
purchasing smartphones or tablet computers.  Rs 900 crore has been allocated under the scheme.  
? Thermal power:  Four super critical thermal power units will be setup with an aggregate capacity of 2,920 
MW.  The project cost is estimated at Rs 23,360 crore over the next four years.  
   
West Bengal’s Economy 
? GSDP:  In 2022-23, West Bengal’s GSDP (at 
constant prices) is estimated to grow by 8.4% over 
the previous year.  In comparison, India’s GDP is 
estimated to grow by 7.2% in 2022-23.  
? Sectors:  In 2022-23, agriculture, manufacturing, 
and services sectors are estimated to contribute 20%, 
23%, and 57% of West Bengal’s economy, 
respectively (at current prices). 
? Per capita GSDP:  In 2022-23, West Bengal’s per 
capita GSDP (at current prices) is estimated to be Rs 
1,57,254, an increase of 13% over 2021-22.  In 
2022-23, India’s per capita GDP is estimated to 
increase by 15% over 2021-22 to Rs 1,96,983. 
 
Figure 1: Growth in West Bengal’s GSDP at 
constant prices (2011-12)  
 
Note: These numbers are as per constant prices (2011-12) 
which implies that the growth rate is adjusted for inflation. 
Sources: MoSPI; PRS. 
2.0%
0.7%
5.7%
3.1%
1.7%
-6.7%
-8.7%
-6.6%
2.1%
20.9%
9.4%
10.8%
1.7%
8.1%
11.4%
8.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Agriculture Mfg Services GSDP
2019-20 2020-21 2021-22 2022-23
 
 
  
 
 
 
 
 
   
 
Budget Estimates for 2024-25 
? Total expenditure (excluding debt repayment) in 2024-25 is targeted at Rs 3,04,689 crore.  This is an 
increase of 13% over the revised estimate of 2023-24.  This expenditure is proposed to be met through 
receipts (excluding borrowings) of Rs 2,36,438 crore and net borrowings of Rs 60,262 crore.  The 
remaining amount will be funded through the public account and the contingency fund.  Total receipts for 
2024-25 (other than borrowings) are expected to register an increase of 13% over the revised estimate of 
2023-24. 
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), largely similar to the 
revised estimates for 2023-24 (1.7% of GSDP).  However, in absolute terms revenue deficit in 2024-25 is 
estimated to be higher by Rs 3,699 crore as compared to the revised estimate of 2023-24.  Fiscal deficit for 
2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore), higher than the revised estimates for 2023-24 
(3.5% of GSDP).  For 2024-25, the central government has allowed states a fiscal deficit limit of 3.5% of 
GSDP (including 0.5% of GSDP for undertaking power sector reforms).  
Table 1: Budget 2024-25 - Key figures (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Total Expenditure 2,75,361 3,39,162 3,29,083 -3% 3,66,116 11% 
(-) Repayment of debt 29,768 60,541 60,631 0% 61,427 1% 
Net Expenditure (E) 2,45,592 2,78,622 2,68,451 -4% 3,04,689 13% 
Total Receipts 2,65,869 3,32,823 3,21,948 -3% 3,58,127 11% 
(-) Borrowings 70,243 1,20,040 1,12,803 -6% 1,21,689 8% 
Net Receipts (R) 1,95,626 2,12,783 2,09,145 -2% 2,36,438 13% 
Fiscal Deficit (E-R) 49,966 65,839 59,306 -10% 68,250 15% 
as % of GSDP 3.3% 3.8% 3.5%  3.6%  
Revenue Deficit 27,295 30,924 28,253 -9% 31,952 13% 
as % of GSDP 1.8% 1.8% 1.7%  1.7%  
Primary Deficit 9,948 23,076 17,031 -26% 22,981 35% 
as % of GSDP 0.6% 1.3% 1.0%  1.2%  
GSDP 15,31,758 17,19,609 17,00,939 -1% 18,79,453 10% 
Note: BE is Budget Estimates; RE is Revised Estimates.  Total expenditure in 2022-23 includes transfer of Rs 180 crore to the contingency 
fund.  Fiscal deficit figures are as reported by the state and have not been adjusted for loans given by the Centre for capital expenditure. 
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Expenditure in 2024-25 
? Revenue expenditure for 2024-25 is proposed to 
be Rs 2,68,203 crore, an increase of 13% over the 
revised estimate of 2023-24.  This includes the 
expenditure on salaries, pension, interest, grants, 
and subsidies. 
? Capital outlay for 2024-25 is proposed to be Rs 
35,866 crore, an increase of 17% over the revised 
estimate of 2023-24.  Capital outlay indicates the 
expenditure towards creation of assets.   
? In 2024-25, loans and advances given by the state 
are expected to be Rs 620 crore, lower than the 
revised estimates of 2023-24 by 38%.   
 
Table 2: Expenditure budget 2024-25 (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Revenue Expenditure 2,22,839 2,43,561 2,36,912 -3% 2,68,203 13% 
Capital Outlay 22,009 34,026 30,537 -10% 35,866 17% 
Loans given by the state 564 1,034 1,003 -3% 620 -38% 
Net Expenditure 2,45,412 2,78,622 2,68,451 -4% 3,04,689 13% 
Sources:  Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
West Bengal’s capital outlay 
In 2024-25, capital outlay by West Bengal is estimated to 
increase by 17% over the revised estimate of 2023-24.  
However, in 2023-24, capital outlay is seen to be 10% lower 
at the revised estimate stage as compared to the budget 
estimate.  Between 2015-16 and 2021-22, average 
underspending in West Bengal’s capital outlay was 33%.  
This was significantly higher than the average 
underspending of 19% by states on capital outlay during that 
period.  In 2022-23, the state’s capital outlay was 34% lower 
as compared to the budget estimate.  Sectors which saw 
significant underspending in capital outlay in 2022-23 include 
housing (71%), agriculture and allied activities (70%), and 
rural development (69%).    
Page 3


 
 
 
 
 
    
      
    
West Bengal Budget Analysis 
2024-25 
The Finance Minister of West Bengal, Ms. Chandrima Bhattacharya, presented the Budget for the state for the 
financial year 2024-25 on February 8, 2024. 
Budget Highlights 
? The Gross State Domestic Product (GSDP) of West Bengal for 2024-25 (at current prices) is projected to 
be Rs 18.8 lakh crore, amounting to growth of 10.5% over 2023-24. 
? Expenditure (excluding debt repayment) in 2024-25 is estimated to be Rs 3,04,689 crore, an increase of 
13% over the revised estimates of 2023-24.  In addition, debt of Rs 61,427 crore will be repaid by the state. 
? Receipts (excluding borrowings) for 2024-25 are estimated to be Rs 2,36,438 crore, an increase of 13% as 
compared to the revised estimate of 2023-24.   
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), similar to the revised estimates 
for 2023-24 (1.7% of GSDP).  In 2023-24, the revenue deficit was budgeted to be marginally higher (1.8% of 
GSDP). 
? Fiscal deficit for 2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore).  In 2023-24, as per the revised 
estimates, fiscal deficit is expected to be 3.5% of GSDP, lower than the budget estimate (3.8% of GSDP).  
Policy Highlights 
? Lakshmir Bhandar:  Financial assistance under the scheme will be increased to Rs 1,200 per month for 
women from SC/ST communities and to Rs 1,000 per month for women from other categories.  After 60 
years of age, the beneficiaries will get the same financial assistance under the old age pension scheme.  
? Karmasree scheme:  The state government will provide at least 50 days of work to MGNREGA job card 
holders under the scheme from May 2024 onwards.   
? Agriculture:  For promoting modern farm machinery, 2,000 farm machinery hubs and custom hiring 
centres will be set up at the gram panchayat level in next two years.  Rs 450 crore has been allocated for 
setting up these centres.  Rs 200 crore has been allocated for setting up 1,200 farmer producer organisations 
to supply seeds and enhance market connectivity of agriculture produce. 
? Taruner Swapno:  One-time financial assistance of Rs 10,000 will be provided for students in class 11 for 
purchasing smartphones or tablet computers.  Rs 900 crore has been allocated under the scheme.  
? Thermal power:  Four super critical thermal power units will be setup with an aggregate capacity of 2,920 
MW.  The project cost is estimated at Rs 23,360 crore over the next four years.  
   
West Bengal’s Economy 
? GSDP:  In 2022-23, West Bengal’s GSDP (at 
constant prices) is estimated to grow by 8.4% over 
the previous year.  In comparison, India’s GDP is 
estimated to grow by 7.2% in 2022-23.  
? Sectors:  In 2022-23, agriculture, manufacturing, 
and services sectors are estimated to contribute 20%, 
23%, and 57% of West Bengal’s economy, 
respectively (at current prices). 
? Per capita GSDP:  In 2022-23, West Bengal’s per 
capita GSDP (at current prices) is estimated to be Rs 
1,57,254, an increase of 13% over 2021-22.  In 
2022-23, India’s per capita GDP is estimated to 
increase by 15% over 2021-22 to Rs 1,96,983. 
 
Figure 1: Growth in West Bengal’s GSDP at 
constant prices (2011-12)  
 
Note: These numbers are as per constant prices (2011-12) 
which implies that the growth rate is adjusted for inflation. 
Sources: MoSPI; PRS. 
2.0%
0.7%
5.7%
3.1%
1.7%
-6.7%
-8.7%
-6.6%
2.1%
20.9%
9.4%
10.8%
1.7%
8.1%
11.4%
8.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Agriculture Mfg Services GSDP
2019-20 2020-21 2021-22 2022-23
 
 
  
 
 
 
 
 
   
 
Budget Estimates for 2024-25 
? Total expenditure (excluding debt repayment) in 2024-25 is targeted at Rs 3,04,689 crore.  This is an 
increase of 13% over the revised estimate of 2023-24.  This expenditure is proposed to be met through 
receipts (excluding borrowings) of Rs 2,36,438 crore and net borrowings of Rs 60,262 crore.  The 
remaining amount will be funded through the public account and the contingency fund.  Total receipts for 
2024-25 (other than borrowings) are expected to register an increase of 13% over the revised estimate of 
2023-24. 
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), largely similar to the 
revised estimates for 2023-24 (1.7% of GSDP).  However, in absolute terms revenue deficit in 2024-25 is 
estimated to be higher by Rs 3,699 crore as compared to the revised estimate of 2023-24.  Fiscal deficit for 
2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore), higher than the revised estimates for 2023-24 
(3.5% of GSDP).  For 2024-25, the central government has allowed states a fiscal deficit limit of 3.5% of 
GSDP (including 0.5% of GSDP for undertaking power sector reforms).  
Table 1: Budget 2024-25 - Key figures (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Total Expenditure 2,75,361 3,39,162 3,29,083 -3% 3,66,116 11% 
(-) Repayment of debt 29,768 60,541 60,631 0% 61,427 1% 
Net Expenditure (E) 2,45,592 2,78,622 2,68,451 -4% 3,04,689 13% 
Total Receipts 2,65,869 3,32,823 3,21,948 -3% 3,58,127 11% 
(-) Borrowings 70,243 1,20,040 1,12,803 -6% 1,21,689 8% 
Net Receipts (R) 1,95,626 2,12,783 2,09,145 -2% 2,36,438 13% 
Fiscal Deficit (E-R) 49,966 65,839 59,306 -10% 68,250 15% 
as % of GSDP 3.3% 3.8% 3.5%  3.6%  
Revenue Deficit 27,295 30,924 28,253 -9% 31,952 13% 
as % of GSDP 1.8% 1.8% 1.7%  1.7%  
Primary Deficit 9,948 23,076 17,031 -26% 22,981 35% 
as % of GSDP 0.6% 1.3% 1.0%  1.2%  
GSDP 15,31,758 17,19,609 17,00,939 -1% 18,79,453 10% 
Note: BE is Budget Estimates; RE is Revised Estimates.  Total expenditure in 2022-23 includes transfer of Rs 180 crore to the contingency 
fund.  Fiscal deficit figures are as reported by the state and have not been adjusted for loans given by the Centre for capital expenditure. 
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Expenditure in 2024-25 
? Revenue expenditure for 2024-25 is proposed to 
be Rs 2,68,203 crore, an increase of 13% over the 
revised estimate of 2023-24.  This includes the 
expenditure on salaries, pension, interest, grants, 
and subsidies. 
? Capital outlay for 2024-25 is proposed to be Rs 
35,866 crore, an increase of 17% over the revised 
estimate of 2023-24.  Capital outlay indicates the 
expenditure towards creation of assets.   
? In 2024-25, loans and advances given by the state 
are expected to be Rs 620 crore, lower than the 
revised estimates of 2023-24 by 38%.   
 
Table 2: Expenditure budget 2024-25 (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Revenue Expenditure 2,22,839 2,43,561 2,36,912 -3% 2,68,203 13% 
Capital Outlay 22,009 34,026 30,537 -10% 35,866 17% 
Loans given by the state 564 1,034 1,003 -3% 620 -38% 
Net Expenditure 2,45,412 2,78,622 2,68,451 -4% 3,04,689 13% 
Sources:  Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
West Bengal’s capital outlay 
In 2024-25, capital outlay by West Bengal is estimated to 
increase by 17% over the revised estimate of 2023-24.  
However, in 2023-24, capital outlay is seen to be 10% lower 
at the revised estimate stage as compared to the budget 
estimate.  Between 2015-16 and 2021-22, average 
underspending in West Bengal’s capital outlay was 33%.  
This was significantly higher than the average 
underspending of 19% by states on capital outlay during that 
period.  In 2022-23, the state’s capital outlay was 34% lower 
as compared to the budget estimate.  Sectors which saw 
significant underspending in capital outlay in 2022-23 include 
housing (71%), agriculture and allied activities (70%), and 
rural development (69%).    
 
 
  
 
 
 
 
 
   
 
Committed expenditure: Committed expenditure of a state typically includes expenditure on payment of 
salaries, pension, and interest.  A larger proportion of budget allocated for committed expenditure items limits 
the state’s flexibility to decide on other expenditure priorities such as capital outlay.  In 2024-25, West Bengal is 
estimated to spend Rs 1,36,203 crore on committed expenditure, which is 58% of its estimated revenue receipts.  
This comprises spending on salaries (28% of revenue receipts), interest payments (19%), and pension (10%).  In 
2024-25, expenditure towards interest payment is estimated to be 7% higher than the revised estimate of 2023-
24.  In 2022-23, as per actual figures, 64% of revenue receipts were spent towards committed expenditure. 
Table 3: Committed Expenditure in 2024-25 (in Rs crore) 
Committed Expenditure 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Salaries 60,306 64,532 65,373 1% 66,224 1% 
Pension 24,624 23,896 23,698 -1% 24,710 4% 
Interest payment 40,018 42,763 42,275 -1% 45,269 7% 
Committed Expenditure 1,24,948 1,31,191 1,31,346 0% 1,36,203 4% 
Sources: Budget at a Glance and Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Sector-wise expenditure: The sectors listed below account for 66% of the total expenditure on sectors by West 
Bengal in 2024-25.  A comparison of West Bengal’s expenditure on key sectors with that by other states is 
shown in Annexure 1. 
Table 4: Sector-wise expenditure under West Bengal Budget 2024-25 (in Rs crore) 
Sectors 
2022-23 
Actuals 
2023-24 
BE 
2023-24 
RE 
2024-25 
BE 
% change from 
RE 23-24 to  
BE 24-25 
Budget Provisions (2024-25) 
Education, Sports, 
Arts, and Culture 
41,516 45,812 42,404 47,470 12% 
? Rs 18,029 crore has been allocated for assistance to 
non-government secondary schools. 
? Rs 7,732 crore has been allocated for assistance to 
non-government primary schools. 
Social Welfare and 
Nutrition 
42,685 36,844 34,106 44,834 31% 
? Rs 14,400 crore has been allocated for Lakshmir 
Bhandar. 
? Rs 4,496 crore has been allocated for old age pension 
scheme under Jai Bangla. 
Agriculture and 
Allied Activities 
9,772 17,767 22,725 22,620 0% 
? Rs 5,800 crore has been allocated for financial support 
to Krishak Bandhu. 
? Rs 1,200 crore has been allocated for crop insurance. 
Health and Family 
Welfare 
16,858 18,490 17,959 20,053 12% 
? Rs 7,109 crore has been allocated for Urban Health 
Services - Allopathy. 
? Rs 2,303 crore has been allocated for Rural Health 
Services - Allopathy. 
Rural Development 12,065 15,979 17,491 18,892 8% 
? Rs 5,032 crore has been allocated for assistance to 
various panchayats. 
? Rs 4,745 crore has been allocated for MGNREGA. 
Urban Development 14,567 11,526 11,505 12,198 6% 
? Rs 4,742 crore has been allocated for assistance to 
municipalities/ municipal councils. 
? Rs 2,846 crore has been allocated for assistance to 
local bodies corporations, urban development 
authorities, etc.   
Police 9,707 10,595 10,339 10,984 6% ? Rs 7,222 crore has been allocated for district police. 
Welfare of SC, ST, 
OBC, and Minorities 
4,890 7,229 5,377 7,809 45% 
? Rs 1,201 crore has been allocated for talent support 
for meritorious students. 
Transport 6,376 7,089 7,825 7,437 -5% 
? Rs 5,108 crore has been allocated for capital outlay on 
roads and bridges. 
Housing 262 7,074 1,689 7,333 334% ? Rs 6,859 crore has been allocated for PMAY - Rural. 
% of total 
expenditure on all 
sectors 
65% 64% 64% 66%   
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS.  
Page 4


 
 
 
 
 
    
      
    
West Bengal Budget Analysis 
2024-25 
The Finance Minister of West Bengal, Ms. Chandrima Bhattacharya, presented the Budget for the state for the 
financial year 2024-25 on February 8, 2024. 
Budget Highlights 
? The Gross State Domestic Product (GSDP) of West Bengal for 2024-25 (at current prices) is projected to 
be Rs 18.8 lakh crore, amounting to growth of 10.5% over 2023-24. 
? Expenditure (excluding debt repayment) in 2024-25 is estimated to be Rs 3,04,689 crore, an increase of 
13% over the revised estimates of 2023-24.  In addition, debt of Rs 61,427 crore will be repaid by the state. 
? Receipts (excluding borrowings) for 2024-25 are estimated to be Rs 2,36,438 crore, an increase of 13% as 
compared to the revised estimate of 2023-24.   
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), similar to the revised estimates 
for 2023-24 (1.7% of GSDP).  In 2023-24, the revenue deficit was budgeted to be marginally higher (1.8% of 
GSDP). 
? Fiscal deficit for 2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore).  In 2023-24, as per the revised 
estimates, fiscal deficit is expected to be 3.5% of GSDP, lower than the budget estimate (3.8% of GSDP).  
Policy Highlights 
? Lakshmir Bhandar:  Financial assistance under the scheme will be increased to Rs 1,200 per month for 
women from SC/ST communities and to Rs 1,000 per month for women from other categories.  After 60 
years of age, the beneficiaries will get the same financial assistance under the old age pension scheme.  
? Karmasree scheme:  The state government will provide at least 50 days of work to MGNREGA job card 
holders under the scheme from May 2024 onwards.   
? Agriculture:  For promoting modern farm machinery, 2,000 farm machinery hubs and custom hiring 
centres will be set up at the gram panchayat level in next two years.  Rs 450 crore has been allocated for 
setting up these centres.  Rs 200 crore has been allocated for setting up 1,200 farmer producer organisations 
to supply seeds and enhance market connectivity of agriculture produce. 
? Taruner Swapno:  One-time financial assistance of Rs 10,000 will be provided for students in class 11 for 
purchasing smartphones or tablet computers.  Rs 900 crore has been allocated under the scheme.  
? Thermal power:  Four super critical thermal power units will be setup with an aggregate capacity of 2,920 
MW.  The project cost is estimated at Rs 23,360 crore over the next four years.  
   
West Bengal’s Economy 
? GSDP:  In 2022-23, West Bengal’s GSDP (at 
constant prices) is estimated to grow by 8.4% over 
the previous year.  In comparison, India’s GDP is 
estimated to grow by 7.2% in 2022-23.  
? Sectors:  In 2022-23, agriculture, manufacturing, 
and services sectors are estimated to contribute 20%, 
23%, and 57% of West Bengal’s economy, 
respectively (at current prices). 
? Per capita GSDP:  In 2022-23, West Bengal’s per 
capita GSDP (at current prices) is estimated to be Rs 
1,57,254, an increase of 13% over 2021-22.  In 
2022-23, India’s per capita GDP is estimated to 
increase by 15% over 2021-22 to Rs 1,96,983. 
 
Figure 1: Growth in West Bengal’s GSDP at 
constant prices (2011-12)  
 
Note: These numbers are as per constant prices (2011-12) 
which implies that the growth rate is adjusted for inflation. 
Sources: MoSPI; PRS. 
2.0%
0.7%
5.7%
3.1%
1.7%
-6.7%
-8.7%
-6.6%
2.1%
20.9%
9.4%
10.8%
1.7%
8.1%
11.4%
8.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Agriculture Mfg Services GSDP
2019-20 2020-21 2021-22 2022-23
 
 
  
 
 
 
 
 
   
 
Budget Estimates for 2024-25 
? Total expenditure (excluding debt repayment) in 2024-25 is targeted at Rs 3,04,689 crore.  This is an 
increase of 13% over the revised estimate of 2023-24.  This expenditure is proposed to be met through 
receipts (excluding borrowings) of Rs 2,36,438 crore and net borrowings of Rs 60,262 crore.  The 
remaining amount will be funded through the public account and the contingency fund.  Total receipts for 
2024-25 (other than borrowings) are expected to register an increase of 13% over the revised estimate of 
2023-24. 
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), largely similar to the 
revised estimates for 2023-24 (1.7% of GSDP).  However, in absolute terms revenue deficit in 2024-25 is 
estimated to be higher by Rs 3,699 crore as compared to the revised estimate of 2023-24.  Fiscal deficit for 
2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore), higher than the revised estimates for 2023-24 
(3.5% of GSDP).  For 2024-25, the central government has allowed states a fiscal deficit limit of 3.5% of 
GSDP (including 0.5% of GSDP for undertaking power sector reforms).  
Table 1: Budget 2024-25 - Key figures (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Total Expenditure 2,75,361 3,39,162 3,29,083 -3% 3,66,116 11% 
(-) Repayment of debt 29,768 60,541 60,631 0% 61,427 1% 
Net Expenditure (E) 2,45,592 2,78,622 2,68,451 -4% 3,04,689 13% 
Total Receipts 2,65,869 3,32,823 3,21,948 -3% 3,58,127 11% 
(-) Borrowings 70,243 1,20,040 1,12,803 -6% 1,21,689 8% 
Net Receipts (R) 1,95,626 2,12,783 2,09,145 -2% 2,36,438 13% 
Fiscal Deficit (E-R) 49,966 65,839 59,306 -10% 68,250 15% 
as % of GSDP 3.3% 3.8% 3.5%  3.6%  
Revenue Deficit 27,295 30,924 28,253 -9% 31,952 13% 
as % of GSDP 1.8% 1.8% 1.7%  1.7%  
Primary Deficit 9,948 23,076 17,031 -26% 22,981 35% 
as % of GSDP 0.6% 1.3% 1.0%  1.2%  
GSDP 15,31,758 17,19,609 17,00,939 -1% 18,79,453 10% 
Note: BE is Budget Estimates; RE is Revised Estimates.  Total expenditure in 2022-23 includes transfer of Rs 180 crore to the contingency 
fund.  Fiscal deficit figures are as reported by the state and have not been adjusted for loans given by the Centre for capital expenditure. 
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Expenditure in 2024-25 
? Revenue expenditure for 2024-25 is proposed to 
be Rs 2,68,203 crore, an increase of 13% over the 
revised estimate of 2023-24.  This includes the 
expenditure on salaries, pension, interest, grants, 
and subsidies. 
? Capital outlay for 2024-25 is proposed to be Rs 
35,866 crore, an increase of 17% over the revised 
estimate of 2023-24.  Capital outlay indicates the 
expenditure towards creation of assets.   
? In 2024-25, loans and advances given by the state 
are expected to be Rs 620 crore, lower than the 
revised estimates of 2023-24 by 38%.   
 
Table 2: Expenditure budget 2024-25 (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Revenue Expenditure 2,22,839 2,43,561 2,36,912 -3% 2,68,203 13% 
Capital Outlay 22,009 34,026 30,537 -10% 35,866 17% 
Loans given by the state 564 1,034 1,003 -3% 620 -38% 
Net Expenditure 2,45,412 2,78,622 2,68,451 -4% 3,04,689 13% 
Sources:  Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
West Bengal’s capital outlay 
In 2024-25, capital outlay by West Bengal is estimated to 
increase by 17% over the revised estimate of 2023-24.  
However, in 2023-24, capital outlay is seen to be 10% lower 
at the revised estimate stage as compared to the budget 
estimate.  Between 2015-16 and 2021-22, average 
underspending in West Bengal’s capital outlay was 33%.  
This was significantly higher than the average 
underspending of 19% by states on capital outlay during that 
period.  In 2022-23, the state’s capital outlay was 34% lower 
as compared to the budget estimate.  Sectors which saw 
significant underspending in capital outlay in 2022-23 include 
housing (71%), agriculture and allied activities (70%), and 
rural development (69%).    
 
 
  
 
 
 
 
 
   
 
Committed expenditure: Committed expenditure of a state typically includes expenditure on payment of 
salaries, pension, and interest.  A larger proportion of budget allocated for committed expenditure items limits 
the state’s flexibility to decide on other expenditure priorities such as capital outlay.  In 2024-25, West Bengal is 
estimated to spend Rs 1,36,203 crore on committed expenditure, which is 58% of its estimated revenue receipts.  
This comprises spending on salaries (28% of revenue receipts), interest payments (19%), and pension (10%).  In 
2024-25, expenditure towards interest payment is estimated to be 7% higher than the revised estimate of 2023-
24.  In 2022-23, as per actual figures, 64% of revenue receipts were spent towards committed expenditure. 
Table 3: Committed Expenditure in 2024-25 (in Rs crore) 
Committed Expenditure 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Salaries 60,306 64,532 65,373 1% 66,224 1% 
Pension 24,624 23,896 23,698 -1% 24,710 4% 
Interest payment 40,018 42,763 42,275 -1% 45,269 7% 
Committed Expenditure 1,24,948 1,31,191 1,31,346 0% 1,36,203 4% 
Sources: Budget at a Glance and Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Sector-wise expenditure: The sectors listed below account for 66% of the total expenditure on sectors by West 
Bengal in 2024-25.  A comparison of West Bengal’s expenditure on key sectors with that by other states is 
shown in Annexure 1. 
Table 4: Sector-wise expenditure under West Bengal Budget 2024-25 (in Rs crore) 
Sectors 
2022-23 
Actuals 
2023-24 
BE 
2023-24 
RE 
2024-25 
BE 
% change from 
RE 23-24 to  
BE 24-25 
Budget Provisions (2024-25) 
Education, Sports, 
Arts, and Culture 
41,516 45,812 42,404 47,470 12% 
? Rs 18,029 crore has been allocated for assistance to 
non-government secondary schools. 
? Rs 7,732 crore has been allocated for assistance to 
non-government primary schools. 
Social Welfare and 
Nutrition 
42,685 36,844 34,106 44,834 31% 
? Rs 14,400 crore has been allocated for Lakshmir 
Bhandar. 
? Rs 4,496 crore has been allocated for old age pension 
scheme under Jai Bangla. 
Agriculture and 
Allied Activities 
9,772 17,767 22,725 22,620 0% 
? Rs 5,800 crore has been allocated for financial support 
to Krishak Bandhu. 
? Rs 1,200 crore has been allocated for crop insurance. 
Health and Family 
Welfare 
16,858 18,490 17,959 20,053 12% 
? Rs 7,109 crore has been allocated for Urban Health 
Services - Allopathy. 
? Rs 2,303 crore has been allocated for Rural Health 
Services - Allopathy. 
Rural Development 12,065 15,979 17,491 18,892 8% 
? Rs 5,032 crore has been allocated for assistance to 
various panchayats. 
? Rs 4,745 crore has been allocated for MGNREGA. 
Urban Development 14,567 11,526 11,505 12,198 6% 
? Rs 4,742 crore has been allocated for assistance to 
municipalities/ municipal councils. 
? Rs 2,846 crore has been allocated for assistance to 
local bodies corporations, urban development 
authorities, etc.   
Police 9,707 10,595 10,339 10,984 6% ? Rs 7,222 crore has been allocated for district police. 
Welfare of SC, ST, 
OBC, and Minorities 
4,890 7,229 5,377 7,809 45% 
? Rs 1,201 crore has been allocated for talent support 
for meritorious students. 
Transport 6,376 7,089 7,825 7,437 -5% 
? Rs 5,108 crore has been allocated for capital outlay on 
roads and bridges. 
Housing 262 7,074 1,689 7,333 334% ? Rs 6,859 crore has been allocated for PMAY - Rural. 
% of total 
expenditure on all 
sectors 
65% 64% 64% 66%   
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS.  
 
 
  
 
 
 
 
 
   
 
Receipts in 2024-25 
? Total revenue receipts for 2024-25 are estimated to be Rs 2,36,251 crore, an increase of 13% over the 
revised estimate of 2023-24.  Of this, Rs 1,08,666 crore (46%) will be raised by the state through its own 
resources, and Rs 1,27,585 crore (54%) will come from the centre.  Resources from the centre will be in 
the form of state’s share in central taxes (39% of revenue receipts) and grants (15% of revenue receipts). 
? Devolution:  In 2024-25, state’s share in central taxes is estimated at Rs 92,900 crore, an increase of 12% 
over the revised estimate of 2023-24.     
? Grants from the centre in 2024-25 are estimated at Rs 34,684 crore, an increase of 17% over the revised 
estimates for 2023-24.  However, it is estimated to be 28% lower at the revised estimate stage as compared 
to the budget estimate of 2023-24 (see box below). 
? State’s own tax revenue:  West Bengal’s total own tax revenue is estimated to be Rs 1,02,349 crore in 
2024-25, an increase of 10% over the revised estimate of 2023-24.  Own tax revenue as a percentage of 
GSDP is estimated at 5.4% in 2024-25, lower than the revised estimates for 2023-24 (5.5%).  As per the 
actual figures for 2022-23, own tax revenue as a percentage of GSDP was 5.5%. 
Table 5: Break-up of the state government’s receipts (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 2023-24 to 
RE 2023-24 
2024-25 
Budgeted 
% change from 
RE 2023-24 to 
BE 2024-25 
State's Own Tax 83,609 88,596 92,742 5% 1,02,349 10% 
State's Own Non-Tax 2,197 6,377 3,148 -51% 6,317 101% 
Share in Central Taxes 71,435 76,844 83,193 8% 92,900 12% 
Grants-in-aid from Centre 38,304 40,821 29,576 -28% 34,684 17% 
Revenue Receipts 1,95,544 2,12,637 2,08,659 -2% 2,36,251 13% 
Non-debt Capital Receipts 82 146 486 234% 187 -61% 
Net Receipts 1,95,626 2,12,783 2,09,145 -1.7% 2,36,438 13% 
Note: BE is Budget Estimates; RE is Revised Estimates.  
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
? In 2024-25, State GST is estimated to be the largest 
source of own tax revenue (46% share).  State GST 
revenue is estimated to increase by 10% over the 
revised estimates of 2023-24.   
? Revenue from state excise is estimated to comprise 
21% of West Bengal’s own tax revenue in 2024-25.  
It is seen increasing by 16% in 2024-25 as 
compared to the revised estimate of 2023-24.   
? Revenue from sales tax/VAT and stamps duty and 
registration fees is estimated to increase by 8% and 
10% respectively in 2024-25 over the revised 
estimate of 2023-24.  
Table 6:  Major sources of state’s own-tax revenue (in Rs crore) 
Head 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to BE 
24-25 
State GST 37,967 37,792 42,858 13% 47,337 10% 
State Excise 16,266 17,922 18,851 5% 21,846 16% 
Sales Tax/ VAT 11,840 13,898 12,218 -12% 13,228 8% 
Stamps Duty and Registration Fees 6,876 7,474 6,623 -11% 7,300 10% 
Taxes on Vehicles 3,392 3,584 3,790 6% 4,093 8% 
Land Revenue 3,173 3,391 3,135 -8% 3,470 11% 
Taxes and Duties on Electricity 2,774 3,126 3,100 -1% 3,286 6% 
GST Compensation Grants 8,228 0 0 - 0 - 
GST Compensation Loans 0 0 0 - 0 0 
Sources: Annual Financial Statement, Revenue Budget, West Bengal Budget Documents 2024-25; PRS. 
Grants for centrally sponsored schemes in 2023-24 
As per the revised estimate of 2023-24, West Bengal’s 
grants-in-aid from the Centre are estimated to be 28% lower 
as compared to the budget estimate.  This could be due to 
lower grants from the central government for implementing 
various centrally sponsored schemes in the state.  As 
against the budget estimate of Rs 24,214 crore, grants from 
the Centre for implementing such schemes are estimated to 
be 45% lower at Rs 13,419 crore in the revised estimate for 
2023-24.  In MGNREGA, grants from the Centre are 
estimated to be Rs 1,901 crore, 50% lower at the revised 
estimate stage while in PM Awas Yojana it is estimated to be 
65% lower at Rs 1,973 crore.  
Page 5


 
 
 
 
 
    
      
    
West Bengal Budget Analysis 
2024-25 
The Finance Minister of West Bengal, Ms. Chandrima Bhattacharya, presented the Budget for the state for the 
financial year 2024-25 on February 8, 2024. 
Budget Highlights 
? The Gross State Domestic Product (GSDP) of West Bengal for 2024-25 (at current prices) is projected to 
be Rs 18.8 lakh crore, amounting to growth of 10.5% over 2023-24. 
? Expenditure (excluding debt repayment) in 2024-25 is estimated to be Rs 3,04,689 crore, an increase of 
13% over the revised estimates of 2023-24.  In addition, debt of Rs 61,427 crore will be repaid by the state. 
? Receipts (excluding borrowings) for 2024-25 are estimated to be Rs 2,36,438 crore, an increase of 13% as 
compared to the revised estimate of 2023-24.   
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), similar to the revised estimates 
for 2023-24 (1.7% of GSDP).  In 2023-24, the revenue deficit was budgeted to be marginally higher (1.8% of 
GSDP). 
? Fiscal deficit for 2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore).  In 2023-24, as per the revised 
estimates, fiscal deficit is expected to be 3.5% of GSDP, lower than the budget estimate (3.8% of GSDP).  
Policy Highlights 
? Lakshmir Bhandar:  Financial assistance under the scheme will be increased to Rs 1,200 per month for 
women from SC/ST communities and to Rs 1,000 per month for women from other categories.  After 60 
years of age, the beneficiaries will get the same financial assistance under the old age pension scheme.  
? Karmasree scheme:  The state government will provide at least 50 days of work to MGNREGA job card 
holders under the scheme from May 2024 onwards.   
? Agriculture:  For promoting modern farm machinery, 2,000 farm machinery hubs and custom hiring 
centres will be set up at the gram panchayat level in next two years.  Rs 450 crore has been allocated for 
setting up these centres.  Rs 200 crore has been allocated for setting up 1,200 farmer producer organisations 
to supply seeds and enhance market connectivity of agriculture produce. 
? Taruner Swapno:  One-time financial assistance of Rs 10,000 will be provided for students in class 11 for 
purchasing smartphones or tablet computers.  Rs 900 crore has been allocated under the scheme.  
? Thermal power:  Four super critical thermal power units will be setup with an aggregate capacity of 2,920 
MW.  The project cost is estimated at Rs 23,360 crore over the next four years.  
   
West Bengal’s Economy 
? GSDP:  In 2022-23, West Bengal’s GSDP (at 
constant prices) is estimated to grow by 8.4% over 
the previous year.  In comparison, India’s GDP is 
estimated to grow by 7.2% in 2022-23.  
? Sectors:  In 2022-23, agriculture, manufacturing, 
and services sectors are estimated to contribute 20%, 
23%, and 57% of West Bengal’s economy, 
respectively (at current prices). 
? Per capita GSDP:  In 2022-23, West Bengal’s per 
capita GSDP (at current prices) is estimated to be Rs 
1,57,254, an increase of 13% over 2021-22.  In 
2022-23, India’s per capita GDP is estimated to 
increase by 15% over 2021-22 to Rs 1,96,983. 
 
Figure 1: Growth in West Bengal’s GSDP at 
constant prices (2011-12)  
 
Note: These numbers are as per constant prices (2011-12) 
which implies that the growth rate is adjusted for inflation. 
Sources: MoSPI; PRS. 
2.0%
0.7%
5.7%
3.1%
1.7%
-6.7%
-8.7%
-6.6%
2.1%
20.9%
9.4%
10.8%
1.7%
8.1%
11.4%
8.4%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
Agriculture Mfg Services GSDP
2019-20 2020-21 2021-22 2022-23
 
 
  
 
 
 
 
 
   
 
Budget Estimates for 2024-25 
? Total expenditure (excluding debt repayment) in 2024-25 is targeted at Rs 3,04,689 crore.  This is an 
increase of 13% over the revised estimate of 2023-24.  This expenditure is proposed to be met through 
receipts (excluding borrowings) of Rs 2,36,438 crore and net borrowings of Rs 60,262 crore.  The 
remaining amount will be funded through the public account and the contingency fund.  Total receipts for 
2024-25 (other than borrowings) are expected to register an increase of 13% over the revised estimate of 
2023-24. 
? Revenue deficit in 2024-25 is estimated to be 1.7% of GSDP (Rs 31,952 crore), largely similar to the 
revised estimates for 2023-24 (1.7% of GSDP).  However, in absolute terms revenue deficit in 2024-25 is 
estimated to be higher by Rs 3,699 crore as compared to the revised estimate of 2023-24.  Fiscal deficit for 
2024-25 is targeted at 3.6% of GSDP (Rs 68,250 crore), higher than the revised estimates for 2023-24 
(3.5% of GSDP).  For 2024-25, the central government has allowed states a fiscal deficit limit of 3.5% of 
GSDP (including 0.5% of GSDP for undertaking power sector reforms).  
Table 1: Budget 2024-25 - Key figures (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Total Expenditure 2,75,361 3,39,162 3,29,083 -3% 3,66,116 11% 
(-) Repayment of debt 29,768 60,541 60,631 0% 61,427 1% 
Net Expenditure (E) 2,45,592 2,78,622 2,68,451 -4% 3,04,689 13% 
Total Receipts 2,65,869 3,32,823 3,21,948 -3% 3,58,127 11% 
(-) Borrowings 70,243 1,20,040 1,12,803 -6% 1,21,689 8% 
Net Receipts (R) 1,95,626 2,12,783 2,09,145 -2% 2,36,438 13% 
Fiscal Deficit (E-R) 49,966 65,839 59,306 -10% 68,250 15% 
as % of GSDP 3.3% 3.8% 3.5%  3.6%  
Revenue Deficit 27,295 30,924 28,253 -9% 31,952 13% 
as % of GSDP 1.8% 1.8% 1.7%  1.7%  
Primary Deficit 9,948 23,076 17,031 -26% 22,981 35% 
as % of GSDP 0.6% 1.3% 1.0%  1.2%  
GSDP 15,31,758 17,19,609 17,00,939 -1% 18,79,453 10% 
Note: BE is Budget Estimates; RE is Revised Estimates.  Total expenditure in 2022-23 includes transfer of Rs 180 crore to the contingency 
fund.  Fiscal deficit figures are as reported by the state and have not been adjusted for loans given by the Centre for capital expenditure. 
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Expenditure in 2024-25 
? Revenue expenditure for 2024-25 is proposed to 
be Rs 2,68,203 crore, an increase of 13% over the 
revised estimate of 2023-24.  This includes the 
expenditure on salaries, pension, interest, grants, 
and subsidies. 
? Capital outlay for 2024-25 is proposed to be Rs 
35,866 crore, an increase of 17% over the revised 
estimate of 2023-24.  Capital outlay indicates the 
expenditure towards creation of assets.   
? In 2024-25, loans and advances given by the state 
are expected to be Rs 620 crore, lower than the 
revised estimates of 2023-24 by 38%.   
 
Table 2: Expenditure budget 2024-25 (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Revenue Expenditure 2,22,839 2,43,561 2,36,912 -3% 2,68,203 13% 
Capital Outlay 22,009 34,026 30,537 -10% 35,866 17% 
Loans given by the state 564 1,034 1,003 -3% 620 -38% 
Net Expenditure 2,45,412 2,78,622 2,68,451 -4% 3,04,689 13% 
Sources:  Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
West Bengal’s capital outlay 
In 2024-25, capital outlay by West Bengal is estimated to 
increase by 17% over the revised estimate of 2023-24.  
However, in 2023-24, capital outlay is seen to be 10% lower 
at the revised estimate stage as compared to the budget 
estimate.  Between 2015-16 and 2021-22, average 
underspending in West Bengal’s capital outlay was 33%.  
This was significantly higher than the average 
underspending of 19% by states on capital outlay during that 
period.  In 2022-23, the state’s capital outlay was 34% lower 
as compared to the budget estimate.  Sectors which saw 
significant underspending in capital outlay in 2022-23 include 
housing (71%), agriculture and allied activities (70%), and 
rural development (69%).    
 
 
  
 
 
 
 
 
   
 
Committed expenditure: Committed expenditure of a state typically includes expenditure on payment of 
salaries, pension, and interest.  A larger proportion of budget allocated for committed expenditure items limits 
the state’s flexibility to decide on other expenditure priorities such as capital outlay.  In 2024-25, West Bengal is 
estimated to spend Rs 1,36,203 crore on committed expenditure, which is 58% of its estimated revenue receipts.  
This comprises spending on salaries (28% of revenue receipts), interest payments (19%), and pension (10%).  In 
2024-25, expenditure towards interest payment is estimated to be 7% higher than the revised estimate of 2023-
24.  In 2022-23, as per actual figures, 64% of revenue receipts were spent towards committed expenditure. 
Table 3: Committed Expenditure in 2024-25 (in Rs crore) 
Committed Expenditure 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to  
RE 23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to  
BE 24-25 
Salaries 60,306 64,532 65,373 1% 66,224 1% 
Pension 24,624 23,896 23,698 -1% 24,710 4% 
Interest payment 40,018 42,763 42,275 -1% 45,269 7% 
Committed Expenditure 1,24,948 1,31,191 1,31,346 0% 1,36,203 4% 
Sources: Budget at a Glance and Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
Sector-wise expenditure: The sectors listed below account for 66% of the total expenditure on sectors by West 
Bengal in 2024-25.  A comparison of West Bengal’s expenditure on key sectors with that by other states is 
shown in Annexure 1. 
Table 4: Sector-wise expenditure under West Bengal Budget 2024-25 (in Rs crore) 
Sectors 
2022-23 
Actuals 
2023-24 
BE 
2023-24 
RE 
2024-25 
BE 
% change from 
RE 23-24 to  
BE 24-25 
Budget Provisions (2024-25) 
Education, Sports, 
Arts, and Culture 
41,516 45,812 42,404 47,470 12% 
? Rs 18,029 crore has been allocated for assistance to 
non-government secondary schools. 
? Rs 7,732 crore has been allocated for assistance to 
non-government primary schools. 
Social Welfare and 
Nutrition 
42,685 36,844 34,106 44,834 31% 
? Rs 14,400 crore has been allocated for Lakshmir 
Bhandar. 
? Rs 4,496 crore has been allocated for old age pension 
scheme under Jai Bangla. 
Agriculture and 
Allied Activities 
9,772 17,767 22,725 22,620 0% 
? Rs 5,800 crore has been allocated for financial support 
to Krishak Bandhu. 
? Rs 1,200 crore has been allocated for crop insurance. 
Health and Family 
Welfare 
16,858 18,490 17,959 20,053 12% 
? Rs 7,109 crore has been allocated for Urban Health 
Services - Allopathy. 
? Rs 2,303 crore has been allocated for Rural Health 
Services - Allopathy. 
Rural Development 12,065 15,979 17,491 18,892 8% 
? Rs 5,032 crore has been allocated for assistance to 
various panchayats. 
? Rs 4,745 crore has been allocated for MGNREGA. 
Urban Development 14,567 11,526 11,505 12,198 6% 
? Rs 4,742 crore has been allocated for assistance to 
municipalities/ municipal councils. 
? Rs 2,846 crore has been allocated for assistance to 
local bodies corporations, urban development 
authorities, etc.   
Police 9,707 10,595 10,339 10,984 6% ? Rs 7,222 crore has been allocated for district police. 
Welfare of SC, ST, 
OBC, and Minorities 
4,890 7,229 5,377 7,809 45% 
? Rs 1,201 crore has been allocated for talent support 
for meritorious students. 
Transport 6,376 7,089 7,825 7,437 -5% 
? Rs 5,108 crore has been allocated for capital outlay on 
roads and bridges. 
Housing 262 7,074 1,689 7,333 334% ? Rs 6,859 crore has been allocated for PMAY - Rural. 
% of total 
expenditure on all 
sectors 
65% 64% 64% 66%   
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS.  
 
 
  
 
 
 
 
 
   
 
Receipts in 2024-25 
? Total revenue receipts for 2024-25 are estimated to be Rs 2,36,251 crore, an increase of 13% over the 
revised estimate of 2023-24.  Of this, Rs 1,08,666 crore (46%) will be raised by the state through its own 
resources, and Rs 1,27,585 crore (54%) will come from the centre.  Resources from the centre will be in 
the form of state’s share in central taxes (39% of revenue receipts) and grants (15% of revenue receipts). 
? Devolution:  In 2024-25, state’s share in central taxes is estimated at Rs 92,900 crore, an increase of 12% 
over the revised estimate of 2023-24.     
? Grants from the centre in 2024-25 are estimated at Rs 34,684 crore, an increase of 17% over the revised 
estimates for 2023-24.  However, it is estimated to be 28% lower at the revised estimate stage as compared 
to the budget estimate of 2023-24 (see box below). 
? State’s own tax revenue:  West Bengal’s total own tax revenue is estimated to be Rs 1,02,349 crore in 
2024-25, an increase of 10% over the revised estimate of 2023-24.  Own tax revenue as a percentage of 
GSDP is estimated at 5.4% in 2024-25, lower than the revised estimates for 2023-24 (5.5%).  As per the 
actual figures for 2022-23, own tax revenue as a percentage of GSDP was 5.5%. 
Table 5: Break-up of the state government’s receipts (in Rs crore) 
Items 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 2023-24 to 
RE 2023-24 
2024-25 
Budgeted 
% change from 
RE 2023-24 to 
BE 2024-25 
State's Own Tax 83,609 88,596 92,742 5% 1,02,349 10% 
State's Own Non-Tax 2,197 6,377 3,148 -51% 6,317 101% 
Share in Central Taxes 71,435 76,844 83,193 8% 92,900 12% 
Grants-in-aid from Centre 38,304 40,821 29,576 -28% 34,684 17% 
Revenue Receipts 1,95,544 2,12,637 2,08,659 -2% 2,36,251 13% 
Non-debt Capital Receipts 82 146 486 234% 187 -61% 
Net Receipts 1,95,626 2,12,783 2,09,145 -1.7% 2,36,438 13% 
Note: BE is Budget Estimates; RE is Revised Estimates.  
Sources: Annual Financial Statement, West Bengal Budget Documents 2024-25; PRS. 
? In 2024-25, State GST is estimated to be the largest 
source of own tax revenue (46% share).  State GST 
revenue is estimated to increase by 10% over the 
revised estimates of 2023-24.   
? Revenue from state excise is estimated to comprise 
21% of West Bengal’s own tax revenue in 2024-25.  
It is seen increasing by 16% in 2024-25 as 
compared to the revised estimate of 2023-24.   
? Revenue from sales tax/VAT and stamps duty and 
registration fees is estimated to increase by 8% and 
10% respectively in 2024-25 over the revised 
estimate of 2023-24.  
Table 6:  Major sources of state’s own-tax revenue (in Rs crore) 
Head 
2022-23 
Actuals 
2023-24 
Budgeted 
2023-24 
Revised 
% change from 
BE 23-24 to RE 
23-24 
2024-25 
Budgeted 
% change from 
RE 23-24 to BE 
24-25 
State GST 37,967 37,792 42,858 13% 47,337 10% 
State Excise 16,266 17,922 18,851 5% 21,846 16% 
Sales Tax/ VAT 11,840 13,898 12,218 -12% 13,228 8% 
Stamps Duty and Registration Fees 6,876 7,474 6,623 -11% 7,300 10% 
Taxes on Vehicles 3,392 3,584 3,790 6% 4,093 8% 
Land Revenue 3,173 3,391 3,135 -8% 3,470 11% 
Taxes and Duties on Electricity 2,774 3,126 3,100 -1% 3,286 6% 
GST Compensation Grants 8,228 0 0 - 0 - 
GST Compensation Loans 0 0 0 - 0 0 
Sources: Annual Financial Statement, Revenue Budget, West Bengal Budget Documents 2024-25; PRS. 
Grants for centrally sponsored schemes in 2023-24 
As per the revised estimate of 2023-24, West Bengal’s 
grants-in-aid from the Centre are estimated to be 28% lower 
as compared to the budget estimate.  This could be due to 
lower grants from the central government for implementing 
various centrally sponsored schemes in the state.  As 
against the budget estimate of Rs 24,214 crore, grants from 
the Centre for implementing such schemes are estimated to 
be 45% lower at Rs 13,419 crore in the revised estimate for 
2023-24.  In MGNREGA, grants from the Centre are 
estimated to be Rs 1,901 crore, 50% lower at the revised 
estimate stage while in PM Awas Yojana it is estimated to be 
65% lower at Rs 1,973 crore.  
 
 
  
 
 
 
 
 
   
 
Deficits, Debt, and FRBM Targets for 2024-25 
The West Bengal Fiscal Responsibility and Budget Management Act, 2010 provides annual targets to progressively 
reduce the outstanding liabilities, revenue deficit, and fiscal deficit of the state government. 
Revenue deficit:  It is the difference of revenue expenditure and revenue receipts.  A revenue deficit implies 
that the government needs to borrow to finance those expenses which do not increase its assets or reduce its 
liabilities.  The budget estimates a revenue deficit of Rs 
31,952 crore (or 1.7% of the GSDP) in 2024-25. 
Fiscal deficit:  It is the excess of total expenditure over 
total receipts.  This gap is filled by borrowings by the 
government and leads to an increase in total liabilities.  
In 2024-25, the fiscal deficit is estimated to be 3.6% of 
GSDP (Rs 68,250 crore).  For 2024-25, the central 
government has permitted fiscal deficit of up to 3.5% of 
GSDP to states, of which 0.5% of GSDP will be 
available only upon carrying out certain power sector 
reforms.   As per the revised estimates, in 2023-24, the 
fiscal deficit of the state is expected to be 3.5% of 
GSDP.  This is lower than the budget estimate of 3.8% 
of GSDP.     
Outstanding liabilities:  Outstanding liabilities is the accumulation of total borrowings at the end of a financial 
year.  It also includes any liabilities on public account.  At the end of 2024-25, the outstanding liabilities are 
estimated to be 36.9% of GSDP, lower than the revised estimate for 2023-24 (37.1% of GSDP).   
Outstanding Government Guarantees: Outstanding liabilities of states do not include a few other liabilities 
that are contingent in nature, which states may have to honour in certain cases.  State governments guarantee the 
borrowings of State Public Sector Enterprises (SPSEs) from financial institutions.  As of March 31, 2024, the 
state’s outstanding guarantee is estimated to be Rs 12,840 crore, which is 0.01% of West Bengal’s GSDP in 
2023-24. 
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Figure 2: Revenue and Fiscal Deficit (% of GSDP)  
 
Note: RE is Revised Estimates; BE is budget estimates. 
Sources: Medium Term Fiscal Policy Statement, West Bengal 
Budget Documents 2024-25; PRS.   
Figure 3: Outstanding Liabilities (as % of GSDP) 
 
Note: RE is Revised Estimates; BE is budget estimates. 
Sources: Medium Term Fiscal Policy Statement, West Bengal 
Budget Documents 2024-25; PRS. 
1.7%
2.6%
2.4%
1.8%
1.7% 1.7%
3.1%
3.9%
3.8%
3.3%
3.5%
3.6%
0%
1%
2%
3%
4%
5%
6%
2019-20
2020-21
2021-22
2022-23
2023-24 RE
2024-25 BE
Revenue Deficit Fiscal Deficit
36.8%
42.2%
39.5%
37.5% 37.1% 36.9%
0%
10%
20%
30%
40%
50%
2019-20
2020-21
2021-22
2022-23
2023-24 RE
2024-25 BE
Revenue Deficit Grants 
The 15
th
 Finance Commission recommended revenue deficit 
grants worth Rs 40,115 crore to West Bengal between 2021-
22 and 2025-26.  99% of these grants were recommended 
for the period between 2021-22 and 2023-24.  In 2024-25, 
West Bengal will receive only Rs 568 crore as revenue 
deficit grants while in 2025-26 it will not receive such grants.  
Revenue deficit grants seek to address any post-devolution 
imbalance between a state’s revenue and expenditure 
needs.  They also allow the states to adjust to any changes 
in the tax devolution pattern.  Note that West Bengal has 
persistently been in revenue deficit since at least 2015-16.  It 
will have to increase its revenue receipts or rationalise 
revenue expenditure to maintain a revenue balance.