News Headlines, English News, Today Headlines, Top Stories | Arth Parkash

In a recent two-page letter, Governor Banwarilal Purohit has raised concerns about the fiscal management of Punjab, specifically pointing to additional borrowing and its utilization. He has sought explanations from Chief Minister Bhagwant Mann, emphasizing the need for transparent and prudent financial policies.
Purohit's letter highlights discrepancies between data provided by the Comptroller and Auditor General of India (CAG) and information shared by Chief Minister Mann regarding the state's debt and how it has been used. He questions the government's diversion of funds meant for capital expenditure to undisclosed purposes.

Governor's concerns

The governor expresses doubts about the effective and efficient management of fiscal resources by the state government. He references the substantial additional borrowing, exceeding the initially approved budget, and notes that it doesn't appear to have been used for creating capital assets. The drop in capital expenditure, despite a higher borrowing, raises further questions.

ALSO READ: Punjab Cabinet approves filling 106 Clerk Cadre positions at secretariat
Purohit advises that borrowings should ideally be directed toward creating capital assets rather than funding populist measures. He stresses the importance of financial prudence, resource mobilization, and curbing unproductive expenditures. He also highlights issues like power theft and losses in electricity utilities that need attention.

Government's performance and Punjab's fiscal health

The governor expresses concern about the government's performance and its impact on Punjab's fiscal health. He emphasizes the need for robust fiscal management and prudent utilization of savings to enhance the welfare of the state. He suggests that Punjab should approach the Government of India for assistance while assuring Chief Minister Mann of the Prime Minister's commitment to the state's development.

ALSO READ: High Court finds three top Punjab Officers guilty of contempt of court
This exchange of letters is part of a series of disputes between Chief Minister Bhagwant Mann and Governor Banwarilal Purohit over various issues, including special sessions, institutional appointments, and adherence to legal procedures, over the past year. The current focus on Punjab's fiscal management is the latest flashpoint in their ongoing conflicts.