Lucknow, October 12: According to the State Finance Accounts 2022–23 released by the Comptroller and Auditor General of India (CAG), Uttar Pradesh has emerged as the leading state in fiscal discipline and investment among all 28 states.
Under the leadership of Chief Minister Yogi Adityanath, the state achieved a record capital expenditure of Rs 1,03,237 crore in FY 2022–23, the highest in the country. The figure amounts to 210.68% of the state’s net public debt receipts, highlighting that borrowed funds were fully directed towards development and capital creation projects, a benchmark for sound financial management.
The CAG report notes that UP has maintained strict control over revenue expenditure while simultaneously setting new records in investment and capital spending. Emphasizing fiscal discipline, transparency, and development-focused expenditure, the state has positioned itself as a financial role model for the nation.
UP’s revenue receipts exceeded revenue expenditure, resulting in a revenue surplus. The state’s own tax and non-tax revenues accounted for 45% of total revenue receipts, slightly below industrialized states such as Haryana, Telangana, Maharashtra, and Gujarat, where the share ranges between 70% and 80%. However, the state invested 9.39% of total expenditure, far surpassing Maharashtra (3.81%), Gujarat (3.64%), and Bihar (1.65%). Between 2013–14 and 2022–23, Uttar Pradesh also received the highest central tax devolution in the country. The achievements underscore the Yogi government’s strategic fiscal management and its commitment to development-oriented governance.
In terms of committed expenditure salaries, pensions, and interest payments Uttar Pradesh spent 42.57% of its total revenue expenditure, lower than Haryana (55.27%) and Tamil Nadu (50.97%). Salaries accounted for 12.43% of total expenditure, compared to over 20% in 16 other states. Pension expenditure stood at 12.15%, below states like Himachal Pradesh (15%+). Interest payments formed 8.90% of total expenditure, while 10 states exceeded the 10% mark. Subsidy expenditure was contained at just 4.40%, compared to Punjab’s 17%.
The state allocated 11.89% of its total expenditure to major construction works, demonstrating a strong emphasis on infrastructure development. Spending on grants-in-aid (general and salaries) was 22.85% — lower than in other large states such as Maharashtra, Andhra Pradesh, and Telangana. Similarly, grants-in-aid for capital creation stood at 2.27%, compared to over 5% in states like Assam, Jharkhand, and Tripura.
Uttar Pradesh fully adhered to all provisions of the FRBM Act in FY 2022–23. The state’s total liabilities were 29.32% of its GSDP, while total guarantees stood at just 7.56%, reflecting robust fiscal health, prudence, and stability under the Yogi government.
