State Finance Commission Warns: Orunodoi & NFSA Strain Assam Finances
Guwahati, Feb 18: The Seventh Assam State Finance Commission has warned that two major social security programmes — the Orunodoi cash-transfer scheme and expanded benefits under the National Food Security Act (NFSA) — could place a “disastrous” burden on Assam’s finances unless the state clearly spells out how they will be funded, the commission said in a report headed by Lt Gen (retd) RP Kalita.
The commission estimates the third phase of Orunodoi will cover 37.2 lakh beneficiaries at Rs 1,250 per person, producing an annual fiscal outlay of about Rs 5,580 crore. Under the NFSA expansion, the state proposes issuing ration cards to 19,92,167 beneficiaries who would receive free foodgrains monthly and become eligible for treatment under the Ayushman Bharat scheme; the commission places the NFSA-related annual cost at Rs 5,280 crore (roughly Rs 440 crore per month).
If the state integrates Orunodoi with the ration-card rollout as proposed, the combined annual financial impact would be about Rs 10,860 crore, the report says. The commission noted that while the schemes are “no doubt laudable,” they target a relatively small segment of the needy and carry heavy recurring costs, and that the government has not explained the modalities of funding them.
The report also flagged a separate fiscal pressure: Assam’s share of the central divisible tax pool has declined steadily — from 4.12% in the first report of the Ninth Central Finance Commission to 3.128% in the second report of the Fifteenth Central Finance Commission — reducing flows from the Centre. “A drop of mere 0.1 per cent in the percentage share entails revenue sacrifice of about Rs 758 crore,” the commission observed, underlining how reduced central transfers compound the state’s funding challenge.
Original Source: https://assamtribune.com/assam/orunodoi-nfsa-may-strain-assam-finances-warns-state-finance-commission-1607843
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Publish Date: 2026-02-18 10:01:00