The document summarizes resource mobilization for Karnataka state's 11th five-year plan. It discusses key concepts in government finances like revenue and fiscal deficits. It outlines how available resources are estimated, including various sources of funds. Karnataka has passed fiscal responsibility legislation limiting revenue and fiscal deficits. The state has eliminated revenue deficits and contained fiscal deficit within 3% of GSDP, putting it in a better position to finance its annual plans while still facing challenges around conserving revenues and improving allocation of resources.

1. Resource Mobilization for State Plan By S.Subramanya Secretary ( Budget & Resources) Government of Karnataka

3. Part 1 Concept of Government Finances

4. Government Finances Debt Consolidated Fund CF Public Account Revenue Deficit Fiscal Deficit Revenue Account Capital Account Revenue Expenditure Capital Expenditure Expenditure Tax Non Tax GoI Grants Receipts Devolution Non Debt Capital Receipts

5. Revenue Surplus – not equivalent to accumulation of profit or cash State Debt Revenue Expenditure Capital Expenditure Revenue Receipts Fiscal Deficit The State erodes into the savings made by the household and private sector to fund its current expenditure thereby reducing the net savings in the economy and thus hampering growth Receipts Expenditure Revenue Deficit This portion of fiscal deficit is being used to fund Revenue Expenditure

6. Revenue Surplus – not equivalent to accumulation of profit or cash The State generates savings in the public sector adding to the net savings in the economy augmenting the savings of household sectors and by using this surplus to fund capital expenditure stimulating growth State Debt Revenue Expenditure Capital Expenditure Revenue Receipts Fiscal Deficit Receipts Expenditure This Revenue Surplus goes into funding the extra capital expenditure Revenue Surplus

9. Part 2 How availability of resources for Plan are estimated?

10. Provident Fund Small Savings Market Borrowings Negotiated Loans SOTR SONTR Devolution Non-Plan Grants + Non Plan Non Devlp Exp Non Plan Devlp Exp + - Balance of Current Revenues Non-Plan Capital Receipts Non-Plan Capital Expenditure - Miscellaneous Capital Receipts IR EBR + IEBR NCA ACA for EAPs Other ACA Central Assistance to State Plan + Financial Resources for Annual Plan

11. Part 3 Karnataka Fiscal Responsibility Legislation and imposition of restrictions.

13. Trends in Fiscal Deficit

14. Trends in Revenue Receipts and Expenditure

16. Ability of the State in Financing the annual plans

18. Part 4 Estimation of resources for 11 th plan