Macro Economic Profile

Annual plan 2016-17

Annual Plan 2016-17 was the 5th year of the 12th Five year Plan (2012-17). Annual Plan for the year is formulated based on specific guidelines. While formulating the plan, critical review of the performance of ongoing schemes were held. Stakeholder consultations were held on different areas of critical importance to the State, with a bottom up approach, to capture information on the ground realities. In order to avoid proliferation of schemes, attempts were made to reduce the number of schemes and wherever possible schemes having similar nomenclature were grouped together under a single head.

In order to facilitate speedy implementation of the schemes, some systemic changes have been introduced in the presentation of Plan Document and plan formulation process in Annual Plan 2016-17. The Budget document (Programme Book) was presented in two separate volumes viz. Green Book and Programme Book. The schemes with high priority and ready for implementation were included in the Green Book . A Summary Document on Sector/Sub-Sector/Scheme wise Officer responsible for the implementation of each of the schemes were furnished in the Annual plan 2016-17 to be tabled in the State Legislature along with the Budget documents for 2016-17.

In the Annual Plan (2016-17), the Aggregate Outlay for 2016-17 was 30,534.17 crore, which includes the State Plan of .24,000 crore and Central Assistance of 6534.17 crore. The total State Plan outlay for 2016-17 was 24,000 crore, reflecting an increase of 20 per cent over the previous financial year’s outlay of 20,000 crore. Out of the outlay of 24,000 crore, 5500 crore was for assistance to LSGIs and the remaining 18,500 crore was for State sector schemes. Of the outlay of 24,000 crore, 2354.40 crore is for Special Component Plan and 682.80 crore is for Tribal Sub Plan. An outlay of 2536.07 crore was proposed for the Major Infrastructure Development Projects and amounts under this head is to be released through the Kerala Infrastructure Investment Fund, with effect from 2016-17.

 Major sector wise comparative statements of the outlays of Annual Plan (2014-15), (2015-16) and (2016-17) are given in Table 1.14.

Table 1.14
Annual Plan 2014-15, 2015-16(RE) and 2016-17 Sector wise Outlay Comparative Statement, in crore

Sl. No Sector 2014-15 2015-16 (BE) 2016-17 per cent of increase
over 2015-16
Outlay CSS Aggregate Outlay CSS Aggregate Outlay CSS Aggregate
1 2 3 4 5 6 7 8 9 10 11 13
I Agriculture and Allied activities 1664.02 149.09 1813.11 1241.85 627.58 1869.43 1542.66 418.98 1961.64 5
II Rural Development 617.23 833.41 1450.64 653.12 2223.08 2876.20 844.76 2733.66 3578.42 24
III Special Area Programmes 413.76   413.76 467.23 75.20 542.43 478.98   478.98 -12
IV Irrigation and Flood Control 749.64 160.67 910.31 348.01 223.67 571.68 491.47 86 577.47 1
V Energy 1370.04   1370.04 1467.20 0.00 1467.20 1622.70   1622.70 11
VI Industry and Minerals 639.40 36.68 676.08 582.20 28.71 610.91 1141.80   1141.80 87
VII Transport 1180.87 0.63 1181.50 1300.12 0.00 1300.12 1876.55   1876.55 44
VIII Science, Technology and Environment 621.45 42.73 664.18 688.40 67.59 755.99 188.57 1.00 189.57 -75
IX General Economic Services 1651.49 43.25 1694.74 2508.19 137.64 2645.83 2767.60 82.31 2849.91 8
X Social Services 6334.44 2435.33 8769.77 5873.47 4287.85 10161.32 7447.43 3192.19 10639.62 5
XI General Services 57.66 30.00 87.66 70.21 15.00 85.21 97.48 20.03 117.51 38
  TOTAL - I toXI 15300.00

3731.79 19031.79 15200.00

7686.32 22886.32 18500.00

6534.17 25034.17 9

XII LSGD 4700.00 0.00 4700.00 4800.00 0.00 4800.00 5500.00   5500.00 15
  GRAND TOTAL 20000.00

3731.79 23731.79 20000.00

7686.32 27686.32 24000

6534.17 30534.17 10

Box 1.3
Thrust Areas of Annual Plan 2016-17

  • Crop Husbandry
  • Animal Husbandry
  • Fisheries
  • Major and Medium Irrigation
  • Minor Irrigation
  • Power development
  • Medium and Large Industry
  • Roads and Bridges
  • IT & E Governance
  • Forestry & Wildlife
  • Tourism
  • Medical & Public Health
  • Water supply & Sanitation
  • Urban Development

Rationalisation of CSS

Based on the recommendations of the Sub-Group of Chief Ministers and after consultation with various Ministries/Departments and other stakeholders, the Centrally Sponsored Scheme (CSS) was rationalized for the following sectors.

  • Poverty Elimination – Livelihoods, Jobs and Skill Development
  • Drinking Water and Swachh Bharat Mission
  • Rural Connectivity: Electricity: Access Roads and communication
  • Agriculture, including Animal husbandry, Fisheries, Integrated Watershed Management and Irrigation
  • Education, including Mid-Day Meal
  • Health, Nutrition, Women and Children
  • Housing for All: Rural and Urban
  • Urban Transformation
  • Law and Order, Justice Delivery Systems
  • Others, including Wildlife Conservation and Greening

The existing 66 Centrally Sponsored schemes (CSSs) have been rationalised into 28 umbrella schemes. Out of this, 6 schemes have been categorised as Core of the Core schemes, 20 schemes as Core schemes, and remaining two as Optional schemes. Core Schemes will have compulsory participation by the States, whereas participation amongst the Optional schemes would be by choice. For Optional Schemes, a lump sum provision for each State may be intimated in advance on the basis of which states will inform the Ministry of Finance of the preferred distribution within the overall ceiling indicated.

The existing funding pattern will continue for Core of the Core schemes. For Core schemes, the funding pattern shall be Centre: 60 per cent and State: 40 per cent and for Optional schemes, the ratio will be Centre: 50 per cent and State: 50 per cent.

PLANSPACE: District Roll Out

As part of strengthening the plan monitoring and evaluation mechanism, an online plan monitoring software PLANSPACE was developed by the State Planning Board with the technical support of IIITM-K. Planspace is a web based management information system for monitoring and evaluation of the progress of implementation all plan schemes in the State. The Annual Plan proposals for the year 2016-17 were received online from Heads of department and Implementing agencies through Planspace.

With a view to strengthen the District Level Plan Monitoring System, Planspace has been rolled out to all the Districts in the State. This will enable implementing officers at district and sub district levels to directly input data into the system, thus further enhancing its accuracy and timeliness. As per the information available on Planspace, during the current Financial Year the total plan expenditure is 31.63 per cent percent as on December 31, 2016 which is expected to improve substantially by the end of the Financial Year.

As a further step towards the monitoring mechanism, software for monitoring of MLASDF schemes at District level has been developed. The software developed is capable of capturing information at different levels of implementation of the scheme, beginning from the origin of the proposal to handing over of the asset created to the local bodies. The submission of proposals will also be online and Administrative Sanction order can be generated from the system itself.

Economic development in the State has been characterized predominantly by development on social parameters. The demographic indicators, poverty ratio and literacy level are indicative of this. However, the State is constrained in terms of financial resources to sustain the social developments as well as tackle the emerging issues in this sector. Further, resource constraints are affecting the quality of expenditure and funds to meet the capital expenditure. The State has adopted innovative measures in this regard. The formulation of 13th Plan was a decisive step by the State and it seeks to address the imbalances in different sectors and frame appropriate policies and programme for each accordingly.