Sawant strikes a fine balance: Central funds hold key to realising CM’s budget vision for Goa

Porvorim: Presenting his fiscal plan for 2026-27, chief minister Pramod Sawant made no bones about the fact that his Rs 30,195 crore budget was prepared with the 2027 assembly elections in mind.

To young entrepreneurs finding their feet and the elderly looking for palliative care, his two-and-a-half-hour speech said, ‘Bhivpachi Garaz na’.Sticking to his ‘Viksit Goa 2037’ vision, Sawant’s budgetary allocations ensured that funds were provided for all the relevant sectors of the economy, such as healthcare, upliftment of women, social welfare, education, public transport and PWD. While he outlined a revenue surplus of Rs 1,666 crore, his 80-page speech made it abundantly clear that govt’s finances hinge on the Centre.

“We expect assistance to the extent of Rs 1,357 crore from Central govt for various schemes and an additional Rs 1,600 crore as special assistance from govt of India,” said Sawant.Lending further weight to the fact that Goa depends on the Centre, Sawant revealed that in the current year, Goa received funds of around Rs 2,078 crore as special assistance for infrastructure development, the highest ever received in the history of the state.

To ensure that his budgetary initiatives see the light of day, Sawant said that the dedicated cell for implementing centrally sponsored schemes (CSS) will help in preparing detailed project reports (DPRs) for different central sector schemes.Piggybacking on the Centre’s purse explains Goa’s ability to limit its borrowings to just 33% of RBI’s limit. For 2026-27, the fiscal deficit is projected at Rs 3,895 crore, or 2.9%, just a hair’s breadth from limits imposed by the Fiscal Responsibility and Budget Management Act.Sawant’s fiscal expenditure for the coming financial year is 3% more than the Rs 29,200 crore budgetary allocations for the year ending March 31. In FY 2026-27, govt expects to earn Rs 29,181 crore as tax and non-tax revenue.Sawant stuck with his practice of not increasing taxes and fees. The only place where Sawant hiked fees was the increase in new excise licence fees to Rs 20 lakh, while the fee for an excise licence to non-Goans was increased to Rs 25 lakh. Sawant said that the hike would ensure effective control over the opening of new liquor stores, restaurants, and bars in the state.To ensure that govt’s revenues remain on track, Sawant gave the state commercial tax department a target of Rs 6,945 crore in revenue by improving compliance.