Increase of £10,000,000 in Cost of Army explanatory memorandum dealing with the Indian Budget accounts and estimates for 1920-21, and also with the finances of India for the preceding two years, has been issued by the Secretary of State for India in the form of a White Paper.
The-gross revenue and expenditure of the Government of India for the three years to which this memorandum refers are as follows:
Reyised Grosse Rev & Accounts, Estimate, Expenditure, 101518, 1918.20. Revenue 123,257,744 135,570,000 Expenditure '127,078,153 145,644,100
Surplus or Deficit 3,820,409 10,074,100
Budget, 1920.21, Revenue 134,825,900 Expenditure 132,311,100
Surplus or Deficit 2,514,900
The final accounts for 1918-19 show a deficit of £3,820,409; this is better by £747,791 than the amount shown in the revised estimate for that year. The revised estimate of 1919-20 shows, as compared with the Budget of that year, increases of £4,188.800 in net revenue and £14,931,500 in net expenditure, with the' result that the surplus of £668,600 in the Budget Estimate becomes a deficit of £10,074,100 in the revised estimate. This deficit is more than accounted for by the increased cost of the Army, which totalled £10,185,600.
Bupcer ror 1920-21.
With regard to the Budget for 1920-21, it is pointed out that the! continuance of general prosperity is assumed, and that the revenues will show the same expansion 2s during 1919-20. The Excess Profits Duty imposed in 1919-20 was discontinued, and the super-tax law had been amended.
The net revenue for this year is estimated at £95,047.800, and the net expenditure at £02,533,000. As compared with the revised estimate for 1919-20 these figures show xn increase of £2,800,800 in net 1e-venue, a decrease of £9,698,100 19 net expenditure, and an estimated surplus of £2,514,800, as compared with an estimated deficit of £10, 074,100.
The chief decrease is with respect to the Army, which. amounts to £12,447,100. An interesting item on the expenditure side is the estimate of the new capital to be expended at Delhi during the year, which amounts to £735,800, or nearly double that expended in any previous year.
With regard to the ordinary debt of India, this had been reduced by March 31, 1916. to £1,995,217. Owing to the Indian War Loan and the contribution of £100,000,000 made by India towards the cost of the war, the debt stood at the end
Text read from the printed page and cleaned; old type leaves the occasional error.