New Delhi: The Delhi government is likely to face a funds crunch owing to the COVID-19 pandemic, and might find it tough to disburse salaries of officers and other employees.
Delhi's Deputy Chief Minister and Finance Minister Manish Sishodia said that in the first quarter of the current financial year, the government got Rs 7,000 crore less in revenue collection. This means that the government will be short of Rs 21,000 crore in revenue collection during the current financial year.
Hopes pinned on Central assistance
If the Central government does not take its Constitutional responsibility to fill the revenue gap at the earliest, then from where will salary payments be made to doctors, teachers, municipal, DTC and other employees, questioned Sisodia.
It is now up to the assistance we get from the Centre following which we would be able to pay them their salaries against the duties discharged by them, he added.
Read: "Act of God": Finance Minister links GST shortfall to Covid pandemic
Sisodia wrote to HM Shah in June
Sisodia had written to Union Home Minister Amit Shah earlier in June when the coronavirus cases were increasing continuously and the state government's income had dwindled in view of the lockdown imposed. In his letter to Shah, Sisodia had demanded the immediate release of Rs 5,000 crore so that salaries could be paid to the corona warriors including doctors, sanitation staff, officers and other employees.
Even at that point of time, his demand was not conceded by the Centre. The Delhi government is likely to face a shortfall of Rs 21,000 crore in revenue collection in the current fiscal. If this happens, the state's entire economy will be derailed.
Municipal Corporation too in bad shape
The BJP-ruled Municipal Corporation (MC) of Delhi too is not able to give salaries to their doctors, teachers, officers and other employees. The Delhi government employees are at the risk of facing the same problem now. Delhi and its people are going to encounter a new set of problems if financial constraints are not addressed.
Pertinently, Union Finance Minister Nirmala Sitharaman on Thursday chaired the meeting of the GST Council. When the Delhi government along with other states put the issue of funds crunch before the Council, the Centre refused to give any money from its own share in revenue. The Centre instead advised states to borrow directly from the Reserve Bank of India.
Read: Refusal of GST compensation to States betrayal on part of Centre: Sonia Gandhi
