ORISSA STATE BUDGET: 2010-11 WHAT’S THERE FOR EDUCATION

Pre-Budget Citizens’ Consultation

The more we change the more we remain the same

Education Factoids: Orissa

Continues to rank 24th among 35 states/UTs in terms of literacy rate (NFHS-3) Less said about the Scheduled Castes and

Scheduled Tribes the better.

Ranks 7th wrt drop-out rate at primary level (11.80 %) (Mehta, 2005-06)

Efficiency level of primary education system is at 67.3% compared to national average of 87.8% (Mehta, 2005-06)

Enrolment Trend (2008-09)

4 % increase in the share in the state’s expenditure compared to the year 2006-07.

In 2009-10, it is 3.51 percent of GSDP. The significant increase in the total budget

for the school and mass education during the last two years(2008-09, 2009-10) is due to hike in the salary (sixth pay commission).

Out of increased amount of Rs.1354 cr. during 2008-09 and Rs. 866 cr in 2009-10, the salary amount constitute to the amount of Rs. 1258Cr in 2008-09 and Rs. 718 Cr. In 2009-10.

Budget for School Education

Budget for School Education (in Crores Rs)

Year Dept. Exp State Exp. GSDP2001-02 1383.18 18585.32 469462002-03 1580.9 20783.77 502232003-04 1577.32 23026.29 614222004-05 1658.06 17336.26 714282005-06 1920.47 15746.36 789532006-07 1980.74 19345.99 933742007-08 2379.56 22844.33 1064662008-09 3351.17 31625.36 122165

2009-10 RE 4757.73 32797.55 135603

Budgeted vs Actual (in crores)

Plan vs Non-Plan Exp

More emphasis on

Non-plan

Budget for the Plan and Non-plan expenditures

Year Plan ExpPlan % of Dept. Exp. Non Plan Exp

Non Plan % of Dept. Exp.

2001-02 343.55 24.84 1039.63 75.16

2002-03 119.57 7.56 1461.33 92.44

2003-04 94.95 6.02 1482.36 93.98

2004-05 132.88 8.01 1525.18 91.99

2005-06 191.32 9.96 1729.15 90.04

2006-07 131.75 6.65 1848.99 93.35

2007-08 176.51 7.42 2203.04 92.58

2008-09 424.53 12.67 2926.63 87.33

2009-10 BE 783.26 16.46 3974.49 83.54

Budget for the revenue and capital exp of the dept

Year Revenue Exp% of Dept.

exp Capital Exp % of Dept. exp.

2001-02 1379.31 99.72 3.87 0.28

2002-03 1577.9 99.81 3 0.19

2003-04 1575.3 99.87 2.02 0.13

2004-05 1658.06 100.00 0 0.00

2005-06 1920.47 100.00 0 0.00

2006-07 1980.74 100.00 0 0.00

2007-08 2379.07 99.98 0.49 0.02

2008-09 RE 3734.08 100.00 0 0.00

2009-10 BE 4519.61 98.23 81.25 1.77

Revenue Exp vs Capital ExpNeed more capital exp for School and Mass Education

Revenue Exp Capital Exp

Budget for Primary/Secondary Education

Budget for the primary/secondary education YoY growth %

 2004-

052005-

062006-

072007-

082008-

092009-

102005-

062006-

072007-

082008-

092009-

10

Total Department 1658.1 1920.5 1980.7 2379.6 3734.1 4600.9 15.8 3.1 20.1 56.9 23.2Elementary education

1126.2 1257.6 1341.9 1644.2 2445.8 2888.811.7 6.7 22.5 48.8 18.1

Secondary education

511.3 639.8 612.6 694.5 1221.1 1527.725.1 -4.3 13.4 75.8 25.1

Adult Education 1.3 1.0 1.2 1.4 1.4 7.8 -22.3 20.7 16.7 -2.7 468.7Salary for the Department

1564.1 1724.4 1760.2 1987.0 3245.1 3964.0

10.3 2.1 12.9 63.3 22.2% of the TDE

94.3 89.8 88.9 83.5 86.9 86.2 -4.8 -1.0 -6.0 4.1 -0.9

Increased Emphasis on Secondary Education

Budget for Text book and scholarship in EE

Decreased emphasis on the

text book in elementary education

Per capita Text book and Scholarship in EE

Year No of students (in

crores)**

Text book budget(in Rs. Crs)

Per student budget for text book

(In Rs.)

Scholarship and incentives

(in Rs. Crs)

Per student budget for

scholarship** ** (In Rs.)

2004-05 0.66 14.66 22.22 0.20 0.76

2005-06 0.58 12.78 21.94 0.15 0.67

2006-07 0.63 13.02 20.66 0.18 0.72

2007-08 0.65 12.73 19.51 0.20 0.79

2008-09 0.67 15.83 23.46 0.26 1.00

2009-10 0.70 17.85 25.59 0.26 0.97

*No of students for the year 2008-09, 2009-10 are approximately calculated by taking the growth rate of the enrollment in the previous years **only poor students are taken by taking 39 percent (poverty rate) of the total students

Inadequate resource for

text book and scholarship

Lets see what other states are doing?

Karnataka 2010-11

Education & Higher Education Rs.10505 Crore

High priority for social sector. Education budget increased by Rs 1605

crore Health budget up by Rs 384 crore.

Total= 70063Fiscal deficit= 2.96% of GSDP

Primary and Secondary Education State’s endeavour to ensure that every school going child

acquires education at least up to 10th standard Rs 100 crore for providing necessary facilities in the

schools and PU colleges The scheme of free bicycles to high school students to be

continued with an allocation of Rs 200 crore Rs 80 crore for construction of buildings for 250 PU

colleges 74 Model High Schools to be established under Rashtriya

Madhayamika Siksha Abhiyan. Programmes have also been formulated for development

of 545 High Schools. A special allocation of Rs 5 crore will be provided for

government teachers to acquire graduate and post graduate degrees

Andhra Pradesh ( 87100 crores)

The Bigger Pie

Social Services Pie

Analysis

Heavy Expenditure orientation neglecting the revenue generation

More emphasis on salary hike: Key areas in the social sector need to be emphasized

Continuation of popular schemes with no innovative approach

Likely to create fiscal imbalance Priority areas (?) Quantum and Adequacy of budget for

Education (?)

What’s on the TOP (union budget) Increased the plan allocation for school

education from Rs 26,800 crores in 2009-10 to Rs 31,036 crores in 2010-11 (increase by 15.8%)

In addition, states will have access to Rs 3,675 crores for elementary education under the 13th Finance Commission grants for 2010-11

The Right of Children to Free and Compulsory Education Act, 2009 creates a framework for legal entitlements for all children in the age group of 6 to 14 years to education of good quality, based on principles of equity and non-discrimination

Needs urgent attention

Migrants Handholding of out-of-school children Increased focus on special schemes for

the underprivileged (SCs/STs/minorities, etc)

THANK YOU!