TN Budget discussions

Participating in the general debate, Leader of Opposition Jayalalitha lashed out at the TN Budget calling it a ‘villian’ and a ‘quagmire’. She claimed that revenue deficit have grown from an estimated Rs. 207 crores in the interim budget to Rs. 1,129 crores in the revised budget. She also said that the Finance Minister “openly confessed that the Medium Term Fiscal Plan, which is mandated by Tamil Nadu Fiscal Responsibility Act, 2003, which was subsequently amended in 2004 and 2005, has broken down”.

Finance Minister Anbazhagan responded to Jayalalitha’s charge by stating that the projected revenue deficit was well within 3 percent (of total revenue) level permitted by the 12th Finance Commission. He also dared Jayalalitha to bring a no-confidence motion against the government.

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