Gujarat — what the CAG audit found

Financial audit · State finances

This is the CAG’s annual report on the finances of the whole State. It analyses the State Government’s own accounts for the year — what came in, what was spent, the deficit, the debt and how closely spending followed the budget. It is not a compliance audit (were the rules followed in a particular department?) or a performance audit (did a scheme meet its goals?); the CAG publishes those as separate reports.

“Finance Accounts and Appropriation Accounts of the State constitute the core data for this Report.” — Gujarat report, p. 22

1. Subsidies

   Report p. 12

   Subsidies rose from 18,420 crore in 2019-20 to 28,033 crore in 2023-24, 14.81 per cent of revenue expenditure; the Agriculture department received 11,706 crore, 42 per cent of the total.

   “increasing trend of subsidies, which increased from ₹ 18,420 crore in 2019-20 to ₹ 28,033 crore in 2023-24” — CAG report

2. Revenue surplus

   Report p. 11

   The State recorded a revenue surplus of 33,477 crore in 2023-24, up from 19,865 crore in 2022-23.

   “Revenue surplus increased from ₹ 19,865 crore to ₹ 33,477 crore over 2022-23” — CAG report

3. Fiscal deficit

   Report p. 12

   Fiscal deficit was 23,493 crore (0.95 per cent of GSDP), against the 3 per cent ceiling in the Gujarat Fiscal Responsibility Act.

   “The fiscal deficit of the State decreased to ₹ 23,493 crore (0.95 per cent of GSDP) in 2023-24” — CAG report

4. Public debt

   Report p. 88

   Outstanding public debt at 31 March 2024 was 3,74,981 crore, of which 89.50 per cent is repayable within ten years; public debt to GSDP was 14.31 per cent against the 27.10 per cent target.

   “outstanding public debt of ₹ 3,74,981 crore, comprising internal debt of ₹ 3,35,209 crore” — CAG report

5. Off-budget borrowings

   Report p. 84

   The report records the Finance Department stating there were no off-budget borrowings in 2019-24.

   “Finance Department stated that there were no off-budget borrowings during 2019-24.” — CAG report

   State Government’s reply, as recorded: Finance Department stated there were no off-budget borrowings during 2019-24.

6. Guarantees

   Report p. 13

   Outstanding guarantees were 1,463 crore, within the 20,000 crore limit, and no guarantee was invoked during 2023-24.

   “the outstanding guarantees of ₹ 1,463 crore was also well within the limit of ₹ 20,000 crore” — CAG report

7. Funds with nodal agencies

   Report p. 13

   According to the SNA report, 7,742.71 crore remained unspent in the Single Nodal Agency bank accounts, outside Government accounts, and detailed expenditure vouchers were not received by the AG office.

   “₹ 7,742.71 crore are lying unspent in the bank accounts of SNAs as on 31 March 2024” — CAG report

8. Pending utilisation certificates

   Report p. 134

   4,745 utilisation certificates for grants-in-aid of 11,869.17 crore given to 24 departments over 2001-02 to 2022-23 were outstanding at 31 March 2024.

   “4,745 UCs in respect of GIA aggregating ₹ 11,869.17 crore given to 24 Departments” — CAG report

9. Excess over grants

   Report p. 15

   Excess expenditure of 193.87 crore in 2023-24 needed regularisation; excess of 12,002.54 crore from earlier years was still to be regularised.

   “excess disbursements of ₹ 12,002.54 crore pertaining to the period 2009-10 to 2011-12 and 2014-15 to 2022-23 was yet to be regularized by the State Legislature” — CAG report

10. Unnecessary supplementary provisions

    Report p. 109

    Supplementary provisions of 2,414.11 crore in seven grants proved unnecessary because spending did not reach the original provision.

    “Supplementary provisions (₹ 10 crore or more in each case) aggregating ₹ 2,414.11 crore were made in seven Grants/Appropriation, which proved unnecessary” — CAG report

11. Savings against grants

    Report p. 126

    Spending of 2,76,224.70 crore against total grants and appropriations of 3,19,379.28 crore left overall savings of 43,154.58 crore.

    “an expenditure of ₹ 2,76,224.70 crore was incurred against total grants and appropriations of ₹ 3,19,379.28 crore” — CAG report

12. Capital expenditure

    Report p. 98

    Capital expenditure rose 56.85 per cent to 55,679 crore but was 79 per cent of the budget estimate for capital expenditure.

    “The actual capital expenditure during 2023-24 was 79 per cent of the budget estimates” — CAG report

13. Committed expenditure

    Report p. 63

    Committed expenditure (salaries, interest, pensions) was 43.36 per cent of revenue receipts in 2023-24 against 44.56 per cent in 2019-20, and 96,582 crore in absolute terms.

    “committed expenditure decreased marginally from 44.56 per cent in 2019-20 to 43.36 per cent in 2023-24” — CAG report

14. Abstract contingency bills

    Report p. 15

    2,981 abstract contingency bills of 288.68 crore were pending for submission of detailed contingency bills at 31 March 2024.

    “2,981 AC bills of ₹ 288.68 crore were pending for submission of DC bills” — CAG report

15. Follow-up by legislature

    Report p. 150

    State Finances Audit Reports have been presented since 2008-09 but have not been taken up for discussion by the Public Accounts Committee.

    “these have not been taken up by the Public Accounts Committee for discussion” — CAG report