Previous Budget Speeches



Speech of

Shri B. Gopala Reddi

Hon'ble Finance Minister while Presenting

strong>The Budget for 1957-58

To The Andhra Pradesh Legislative Assembly

on the 3rd July, 1957.




1. I rise to present to the House the Budge of Andhra Pradesh for 1957-58. The vote on account that was obtained in March was only for the first four months of 1957-58 and hence it was only an interim budget. The budget that I now present is for the entire year from April 1957 to end of March 1958. I do not want to cover the ground of my predecessor. He dealt with the accounts of 1955-56, Revised Estimates for 1956-57 and Budget Estimates for 1957-58.

2. I want to make my budget speech in a very unconventional way this year. I want to present the financial position of the State and also that of Telengana separately and watch the reactions of the House, the press and the country. I may straightaway announce that there are no taxation proposals in my budget speech just now. After watching the reactions and after listening to the suggestions from various sections of the House, something positive must be done to improve our financial position.

3. That other States also are presenting deficit budgets is no consolation to us. We have to review our own position and ask ourselves the candid question whether we are doing the right thing by the people. We cannot over spend on the revenue account now and pass on that liability to our succeeding generations. If we create assets like irrigation projects or electricity under undertakings we are entitled to borrow, and it will be paid in easy installments, but what we spend on law and order, health and educational facilities, communications, etc., should not be passed on and we ourselves must bear the burden. It is a wrong policy for us to enjoy certain benefits and pass on the bill to our sons and grand sons.

4. There is no doubt that we are increasingly relying on the Union Government to meet our plan expenditure on capital projects. To that extent we have lost our economy and our independence and the uniform pattern that is being aimed at and implemented is in a way good and bad in other ways. I do not want the House to feel that Government of India or the reserve bank of India are in a position to meet all our requirements, whether on Revenue Account or on Capital Account. They have their commitments and they are not prepared to go beyond them, and beyond the assurances given to the States. The Reserve Bank of India also is governed by its own Act. It can advance monies to the State Governments only for very short periods as temporary accommodation. That again is interest-bearing and, as a matter of fact, under our agreement with the Bank, we have to keep a non-interest bearing sum of Rs.30 lakhs always with them. When ever we fall short of it we have to pay interest to the Reserve Bank and there is a graded system of interest which goes up when the overdraft is increased. The Government of India and the Reserve Bank of India are constantly reminding us of our financial position and they want us to clear the overdrafts we have with the Reserve Bank. It is not as though the Government of India have committed themselves to meet the entire expenditure under the plan. It is not a Central Plan executed by the State Governments. It is a State Government's plan executed with the loan and grant assistance of the Union Government, and we have to supplement it largely by our own efforts at taxation, and by raising loans, small savings, etc.

5. As Hon. Members go through the picture I present they will see the gravity of the situation. We cannot afford to be complacent at our position and it is up to us to bestir ourselves and take early steps to improve our position before it is too late. Our deficits have become so recurring and chronic that they do not seem to excite us at all, and they do not provoke us into thinking constructively. I am reminded of the couplet of the great Urdu poet Mirza Ghalib: We have become so accustomed to our difficulties that we do not worry ourselves about them and our difficulties have seized to a peer burdensome. That is not a healthy attitude and no State Government with all its resources can afford to spend money without looking into its ways and means position, debt position and the interest it has to pay.

6. The matching grants policy of the Union Government is not being utilized to the full extent by some of the States which are financially weak. I can recall to my mind occasions when we had to very reluctantly give up offers of help by the Centre because our position did not warrant could not contributing 50% of the expenditure. For instance, I may quote the example of the teachers' salaries. While Government of India offered to meet a certain portion of the expenditure provided we could bear the other portion of it, our portion itself will be not inconsiderable and when running into huge deficits we are unable to take that offer and further increase our deficit. The net result is, we are unable to make full use of the offer much to the discontentment of the large number of our teaching staff. Even for a thing like construction of lines for Police constables, Government of India give interest-bearing loans only on the condition that we put in an equivalent amount for the purpose. All this is working very hard on weaker States and in our memorandum to the Finance Commission we have drawn their pointed attention to this policy where richer states alone are able to take advantage and weaker States are left as they were.

7. Our control over expenditure also is becoming very strenuous. The Government of India sponsors a Board and requires so much of data a that we have necessarily to create corresponding cells to collect the data. They sponsor scheme and they want us to bear part of the expenditure both on the non-recurring and recurring sides. We want all things to be done at the same time. We are in a hurry to reach targets and we want to satisfy our people by meeting the bulk of their demands as early as possible. But nothing can be done by mere enthusiasm or by appreciating people's difficulties alone. We must have the resources translated in terms of money. I am aware I am not saying anything new, but I am repeating only old platitudes. Our situation is such that even old platitudes have to be reiterated more than once.

Revenue Deficits

8. Revenue Deficits:-let me now conclude my introductory remarks and begin the story of our finances. Our revenue deficits since 1954-55 are as follows:-

                                                         Rs. Crores




1954-55 Accounts



1955-56 "



1956-57 R.E.



1957-58 R.E.



s makes a total of Rs. 15.33 crores for Andhra and Rs. 7.51 crores for Telengana, besides a deficit of Rs. 1.14 crores for Andhra for the second half year of 1953-54. It makes a total of Rs. 23.98 crores for a period of 4 and a half years. This is on revenue account and what we have spent on our buildings at Kurnool and at Hyderabad, on irrigation projects and for our electricity projects, etc., does not come into this account at all. It is on our day to day administration alone and the interest on this 4 and a half years deficit is nearly Rs. 96 lakhs a year. There is an uninformed feeling in Telengana districts that Andhra is a deficit area and Telengana is a surplus one. The figures given about and more especially the figures of the current year reveal that Telengana is running into bigger deficit than the Andhra side. It is but natural that Telengana development also must come sooner or latter on a par with the development in Andhra and more money has to be spent initially to achieve that objective. I may take this on of assuring my friends in Telengana that every rupee collected in Telengana area will be accounted for separately and the fear that Telengana money will be diverted to the development of Andhra is not well founded and whatever assurances were given in this regard will be fully remembered and implemented.

Growth of Revenue

Growth of Revenue.-our Financial position is not all darkness. There are bright stars like sirius and planets like Venus and Jupiter that mitigate the rigours of darkness. They show us the way. The growth of our revenue is a sign of health and one is really pleased at the tide of our financial position. During the last three years the revenue receipts on the Andhra side have risen from Rs. 19.82 crores in 1954-55 to Rs. 32.22 crores in 1957-58, an increase of 62.6% which is really phenomenal. The year to year growth is given here under:-


Rs. In Crores

1954-55 Accounts.


1955-56 "


1956-57 B.E.


1957-58 B.E.


An analysis of the figures shows that the increase of Rs. 12.40 crores between 1954-55 and 1957-58 has occurred under the following heads:-

Rs. Crores



1. Principal Heads of Tax     Revenue



2. Electricity Schemes



3. Central Grants



4. Other Heads





Further details of the growth of tax revenue are given below:



Land Revenue






Motor Vehicles Tax



General Sales-Tax



Other Heads





The rise in the tax revenue is a result of various taxation measures introduced during the last two years for raising resources for financing the Plan outlay, such as, (a) Graded Surcharge on Land Revenue, (b) Full assessment on Inam lands, (C) Standardisation of Land Revenue, (d) Enhancement of water rates, (e) Purchase Tax on foodgrains, etc., and (f) increase in rates of Sales-Tax, etc.

10. By and large, sales-tax is now the only elastic source of revenue left to the States. We have made several changes in the rate structure of sales-tax during the last two years, the intention always being that the incidence of tax on the different classes of population should be in proportion to their capacity to bear the burden. There was considerable disparity in the rates of sales-tax obtaining in Andhra and Telengana. A new law was, therefore, passed by the Assembly in its last session providing for uniform rates in terms of naye paise all over the State. The new law has come into force from the 15th June 1957. The reorganisation of the Department is also on hand and I am sure our receipts under sales-tax will grow considerably in the coming one or two years.

11. Our receipts under Electricity are also steadily on the increase. As we started the Andhra State our working expenses--apart from the interest on capital investment--were in excess of our receipts. We therefore had a minus of Rs. 15.72 lakhs, but by next year, 954-55, we had a saving of Rs. 19.05 lakhs and in 1957-58 we are taking credit for Rs. 176 lakhs. In another year or so we will be able to meet the interest on the capital investment for electricity schemes.

12.Growth of Expenditure
:--As I said above, our growth of revenue is really encouraging, but our expenditure too has been running a very close race with the receipts and to our dismay has overtaken the receipts leaving an annual deficit. The total revenue expenditure of Andhra in 1954-55 amounted to Rs. 25 crores. It rose to Rs. 28.86 crores in 1955-56 and Rs. 30.60 crores in 1956-57. Budget estimate for 1957-58 provides for a revenue expenditure of Rs. 34.64 crores, thus recording an increase of Rs. 9.64 crores or 38.6% over the figure for 1954-55. Distribution of revenue expenditure under the various heads is as follows:-

Rs. In Crores




Nation-building services including education, public health, agriculture, veterinary, co-operation industries, community development etc.





Direct demands on revenue



Debt services



Administrative services and other heads



Expenditure on nation-building services has risen by 45% during the last three years, while cost of administrative services has increased only by 7.9%. The incidence of debt services (excluding provision of repayment of loan installments which comes under capital) has increased by 261.5%. This rise in expenditure on nation-building services and debt services is wholly due to the plan outlay under the first and Second Five-Year Plans.

13. Capital Outlay--Capital outlay on irrigation and power projects, roads, buildings, etc., which amounted to Rs. 12.17 crores in 1954-55, rose to Rs. 16.66 crores if 1955-56 and Rs. 18.21 crores in 1956-57, and now stands at Rs. 15.63 crores in the budget estimate for 1957-58. It is a great pity we are unable to spend this year of what we spent last year.

14. Public Debt.--Our Public Debt is shooting up from year to year. At the time of separation from Madras, Andhra's share of public debt of the composite Madras State including the ways and means advance given by the Reserve Bank amounted to Rs. 42.8 crores. By March 1956 it had risen to Rs. 81.64 crores. At the beginning of the current financial year, it- was Rs. 94.61 crores and by the end of 1957-58 it is expected to rise to Rs. 110 crores.

Telengana.--Till recently, as we all know, Telengana formed part of the composite Hyderabad State and its accounts were not being maintained separately. It is, therefore, a little difficult to analyse the growth of revenue and expenditure of Telengana during the last few years. In order to have a rough idea, however, it can be assumed that Telangana's share in the revenue, expenditure, etc., of the composite Hyderabad State amounted to about 60%. On this basis the figures would work out some what as follows:-

(Rs. In crores)





















The large increase in expenditure has occurred under development heads and cost of debt serving. Capital outlay on irrigation, power, etc., during the same period has risen from Rs. 4.34 crores in 954-55 to Rs. 9.41 crores in 1957-58.

16. Public debt of the composite Hyderabad State was Rs. 69.62 crores at the end of March 1955. Telanagana's share on population basis would work out to Rs. 40.13 crores. By the end of October 1956, the total public debt of the composite Hyderabad State had risen to Rs. 73.25 crores, with Telanagana's share standing at Rs. 42.22 crores. At the end of March, 1957 Telanagana's public debt amounted to Rs. 47.57 crores, which will rise to 55.48 crores by March 1958. This is to a large extent covered by assets in the shape of projects, Buildings, Recoverable Loans and Investments in guilt-edged Securities and Shares.

17. To summarize, the overall financial position of Andhra Pradesh has developed somewhat as follows:

                                          (Rs. In crores)




Revenue Receipts




Revenue Expenditure




Revenue Deficit




Capital outlay




Public Debt(closing)




Cash Balance(closing)



18. Interest on Borrowings:--With the growth of our public debt ( which stood at Rs. 142 crores on 1-4-1957 for both Andhra and Telengana), what we are paying as interest to the Government of India and on the open market borrowings is steadily on the increase. This year we have provided for Rs. Five-Year Plan.21 crores to be paid as interest alone. This has to be paid from the revenue account and to that extent it becomes a big burden on the revenue account. When ever we pay either in installments or in lumpsum any debt, that is taken into the capital account.

19. Pensions.--In the post-war period our departments have swelled so much that the impact of it is now being reflected in the pensionary bill also. Our pension charges are also on the increase. On the Andhra side we have provided Rs. 83 lakhs and on the Telengana side we have provided Rs. 148 lakhs ( Rs. 231 lakhs in the aggregate). The old Customs, Military, etc., personnel of the Hyderabad Services are being paid pensions and Telengana has to bear nearly 60% of that. As interest charges and pensionary charges it comes to a total of Rs. 7.52 crores.

20. Ways and means.--But our immediate difficulty is our ways and means position. The sum total of our transactions on the revenue account, capital account, loans and advances, debt and remittance account, will be reflected in the ways and means position. In June our ways and means position is that we have overdrawn a sum of over Rs. 12 crores from the Reserve Bank and this bears interest at the rate of 4%. The Government of India and the Reserve Bank have been pressing us and writing to us quite often that we must take early steps to wipe out these huge overdrafts. The Union Finance Minister made a pointed reference to the huge overdrafts of the State Governments, in the recent Finance Ministers' Conference at Bombay on the 23rd June. We have tried to get a loan of Rs. 10 crores from the Government of India to clear off this continuing overdraft. They have been asking us to sell the securities held by the erstwhile Hyderabad Government, Telanagana's share of which might come to less than 11 crores of rupees. If as they suggest, we unload all the Telengana securities in the market they will depreciate greatly and there will be a capital loss to the tune of a few lakhs of Rs.. We are prepared to pledge them and take a loan on their security. But that won't solve the problem. We will have to redeem the debt and get our securities released and I am afraid that our ways and means position may further deteriorate as we go on during the lean months of the year. I requested at Finance Ministers' conference that income-tax receipts due to us may be paid to us quarterly and whatever assistance was assured to us may be adjusted to us quarterly so that our ways and means position may ease a bit. The Union Finance Minister promised to do the needful in the matter and I expect he would pass early orders in the matter.

21. Public Borrowing. --The Finance Ministers' Conference at Bombay dealt mainly with the flotation of State loans this year. To meet our Plan expenditure of the year of Rs. 35 crores we have taken credit for Rs. Five-Year Plan crores borrowings in the market apart what we borrow from the Government of India. The Union Finance Minister and the Governor, Reserve Bank, gave us elaborate data of figures of previous years to show that the market will not be in a position to subscribe to the State loans. The Union Finance Minister is coming out for a 100-crore Loan and he expects Rs. 70 crores as cash contributions and Rs. 30 crores as conversion of old loans into new loans. They are emphatically of opinion that market will not be able to give more than 70 crores of rupees as cash and the chances of State loans becoming a success this year are very remote. Our loan of last year is today selling 4 rupees below par value and our investors have to incur great loss if they want ready cash for the securities they hold. Most of the other State Loans also selling below par value which is a clear indication that market is unable to absorb them fully. Further with the rise of lending rate of the Reserve Bank to scheduled banks by 1/2% it may be the States have to pay a little higher rate of interest than in previous years. That would again have a very deleterious effect on our securities which will immediately go down further. The holders of previous securities would like to sell them and put their money in the new loan which bears a slightly higher rate of interest. The Reserve Bank of India have strongly advised us not to come into the open market for borrowing. We have been asked to concentrate on the small savings, and take a 2/3rds share of what we are able to collect in our State instead of 25% of the average collections and 50% of the excess over average collections. If we go into the market in spite of their advice, our share of the collections of small savings will be 1/3rd instead of 2/3rds. If we agree to the recommendation and set up an elaborate machinery to mop up our rural savings in the share of national savings certificates we will be given a share of 66 2/3%. It is a great pity that we did not do very well in the previous years with regard to our small savings. Baring Kerala, we come at the bottom in our collections in the previous years and certainly we cannot congratulate ourselves on our performance with regard to small savings. Some of the Finance Ministers had a separate conference with the Deputy Governor of the Reserve Bank, Sri. B. Venkatappiah, I.C.S., and we learnt how Uttar Pradesh, Bombay and some other States are giving an all-out drive for their small-savings scheme and how they have been spending on their own, supplementing the machinery setup by the Government of India. Some of us pleaded for the transference of the present personnel to work enclose liaison with our collectors and the Government of India have promised to look into the matter provided it does not exceed the present percentage of expenditure on the small savings scheme. The question now is, while last year we collected roughly about Rs. 1 1/2 for both Andhra and Telengana under small savings, we have to collect rupees eight to nine crores this year to earn our 2/3rd share of Rs. Five-Year Plan crores which we have taken credit for under public borrowing and 0.89 crore, for which credit has been taken under small savings. If we fail to collect this amount during the current year, to that extent we will be hampered further and our ways and means position will become more critical.


22. The First Five-Year Plan of Andhra contemplated a total outlay of Rs. 64.32 crores, of which Rs. 21.23 crores were on revenue account and48.19 crores were on capital outlay. Power and Irrigation Projects were given the highest priority and were allotted Rs. 45.69 crores out of the allocation for capital outlay. The actual expenditure incurred on all the schemes under the First Five-Year Plan up to the end of March 1956 amounted to Rs. 64.52 crores.


23. The second Five-Year Plan of Andhra envisages a total outlay of Rs. 119.87 crores during the period 1956-57 to 1960-61. Out of this, Rs. 36.72 crores are on revenue account and Rs. 83.15 crores are for capital outlay.

24. The second Five-Year Plan for Telengana contemplates a total outlay of Rs. 55.50 crores, made up of Rs. 18.23 crores on revenue account and Rs. 37.27 crores on capital account. The Second Plan for Andhra Pradesh as a whole thus envisages an outlay of Rs. 175.37 crores in Five-Years.

25. The accounts for 1955-56 revealed a revenue deficit of Rs. 5.29 crores in Andhra while Telanagana's deficit for 1955-56 is roughly estimated as Rs. 1.70 crores, thus making a total of Rs. 6.99 crores for the whole of Andhra Pradesh. The cumulative effect of this revenue gap during the period of Second Plan would be Rs. 34.95 crores. For the proper implementation of the Second Five-Year Plan we have thus to raise revenues not only for bridging the above gap of Rs. 34.95 crores but also for meeting the additional expenditure of Rs. 54.95 crores on revenue account during the period of the Second Plan.

26. During the last 2 years, we have already imposed several taxes which are expected to yield a total revenue of Rs. 19.5 crores during the period of the Second plan. With the growth of economy, the other existing sources will give another Rs. 18.6 crores while Central grants for schemes under the Second Plan are estimated as Rs. 25.2 crores. Another Rs. 5 crores are expected to be received as States' share additional Central taxation during the period of the plan. In this manner we expect to be able to raise Rs. 68.3 crores as against Rs. 89.9.Crores actually required. This leaves an uncovered gap of Rs. 21.6 crores.

27. It is to be hoped that Finance Commission, which is fully seized of our commitments and difficulties will recommend measures for increased grants from the Centre under Article 275 of the Constitution, larger transfers of tax revenue from the Centre to the States and liberalization of the terms of Central loans. But even this is not going to solve all our problems. We shall still be left with a substantial gap in the revenue resources. One way of meeting the situation would be to cut down the size of the Plan. The other course is to increase our tax efforts.

28. On the Capital side, the total outlay under the Second Plan is estimated as Rs. 120.42 crores. Of this Rs. 26.7 crores have been planned to be found by open market borrowings, leaving the balance of Rs. 93.72 crores to be obtained from the centre and other sources available from time to time as we proceed with the execution of the plan. During 1956-57 the Government of India gave us loans to the extent of Rs. 18.7 crores while central loans for 1957-58 are expected to be Rs. 19.31 crores, excluding short term loans for fertilizers, etc. While central assistance, by way of loans, will continue to be received, we cannot remain complacent towards our own responsibilities for financing the Second Plan. The people of Andhra Desa will have to be prepared to save more and give more to Government.

29. Plan outlay in 1956-57.--The Andhra Budget for 1956-57 provided for a plan outlay of Rs. 19.40 crores, while Telangana's share in the plan outlay of the erstwhile Hyderabad state for 1956-57 amounted to Rs. 10.38 crores. The accounts are not yet available but the revised estimates place the outlay at Rs. 27.14 crores. The over all short fall has mainly occurred in Telangana due to the considerable dislocation in the administrative machinery on account of the problems connected with the Reorganisation of states. Efforts will have to be made for making up the deficiency in the following years.

30. Plan Outlay in 1957-58:- The Budget Estimates for 1957-58, as now revised, make a provision of Rs.34.99 crores for Plan schemes distributed as under:-

Rs. In Crores


On Revenue account



On Capital account


31. It is expected that the central assistance for financing this programme of Rs. 34.99 crores in 1957-58 will be of the order of Rs. 24.50 crores, of which Rs. 5.19 crores will be in the shape of grants and the balance of Rs. 19.31 crores will represent loans. The state will have to find the rest of the amount, i.e., Rs. 10.49 crores.


32. I have come to the end of my story by presenting a complete picture of our finances. I thought it better to take the house and the public into full confidence and present them with a complete picture. With a plan on one side and the growing requirements of the people on the other, we are unable to curtail expenditure. We have guaranteed the scales of pay of Telangana officers not only in their present posts but also on one promotion. Thus Lower Division Clerks promoted to Upper Division and Assistant Secretaries promoted as Deputy Secretaries will draw much higher scales than their counterparts from Andhra. The integration of laws has to be done and more especially taxation measures have to be made identical sooner or later. As a first step, Hon. Members are aware, we have brought out a uniform Sales-Tax Act applicable to all the districts in Andhra Pradesh which has come into force on the 15th June 1957. While in 1956-57 sales-tax receipts from both sides are only Rs. 6 crores we are taking credit in the B.E. For 1957-58 for Rs. 8.3 crores and we expect ( though of course it is only a speculation) that it may go beyond Rs. 9 crores this year. The question of bringing Entertainment Tax, Motor- Spirit Taxation Act and Motor Vehicles Act uniformly applicable to all the districts of Andhra Pradesh is under active contemplation. The question of common Court-Fees Act, Registration Fees and Land Revenue also has to be tackled.

33. I have endeavoured to present a complete picture of our financial position. These recurring deficits are like a gripping paralysis and they are benumbing us and many good schemes have to be deferred, if not dropped. We are unable to take advantage of the matching assistance of the Government of India and the outlook for the successful implementation of the Second Plan also is not very bright. With the uncovered gap in our resources gaping at us, we have to think seriously about immediate plans for strengthening ourselves financially. Andhra Pradesh is not one of the advanced States. Either we get more money and spend it and make really good progress are or we fail to get money and continue to be backward. There is no third course. There must be some co-ordination in our thinking and doing. We cannot think like an advanced State and when it comes to acting we cannot be in the position of a backward State. We have to exert ourselves to the maximum and make our Plan a success. Otherwise it will lead only to discontentment and frustration. The only course left open to us is to tax ourselves more and to give a really good drive to collect money through small savings. We have resources. We have fine emotion and fervour. We have been spending money on irrigation, electricity and agriculture, and there is no reason why our people cannot take in a little more burden of taxation. Some of the states have doubled their water rates in the post-water period. Our water rates in some delta districts are lower than in Telangana districts and the water rates we have decided to charge under the new projects. There is a large acreage under commercial crops in Andhra Pradesh and we have to enquire whether these commercial crops could be subjected to a little additional taxation. Some of the states have gone in for agricultural Income-tax. Even in Madras and in Mysore too there is Agricultural Income-tax on plantations. Though there is Agricultural Income-tax in Telangana, I am sorry to find that what we got in 1956-57 is only roughly Rs. 1.5 lakhs. Whether we can go in for a graded surcharge on land revenue in lieu of agricultural income-tax requires consideration. Our mineral resources also should be made to pay some more revenue to the Government. How exactly that could be done requires investigation. Revenue under registration in Telangana is very low compared to the Andhra districts and the Revenue Minister is already looking into the matter. I have given some of these things as illustrations. When we all think about these things, perhaps some more may occur to us; and I appeal to the Hon. Members to think positively and constructively and over their remarks in the general discussion on the budget. The general discussion on the budget will be utilized solely for this purpose, instead of ventilating local grievances which could be done under the various demands.

34. Before I conclude, my mind goes back to the events of 1857 exactly 100 years ago, when our patriots, soldiers dreamt of a free India and sacrificed their lives in the first conscientious efforts to throw away the foreign yoke. After a century, let us send our silent homage to those patriots. Secondly, the idea that we are completing a decade of Independence fills me with pride and delight. We have passed through many difficulties like short supply of food-stuffs, scarcity of essential goods, etc through famine and floods, and through migration of millions of people. We were also short of fully trained personnel and we had to under go financial difficulties. In spite of all these mountains of difficulties we have survived as a nation. We have strengthened ourselves internally and our prestige abroad is growing higher and higher. We stand by our panchashila in regard to our relations with foreign countries and we have our 'Pancha Varsha Yojanas' which inspire us to dream of a stronger and happier India, and when we look forward to 1967 or to 2057 we are enthused that big things are happening in our country which will strengthen our people both physically and morally. In spite of our present day difficulties we can look forward in confidence and fortitude for better days for our people and for the people of the world.

35. I thank Shri T.T.Krishnamachari, the Union Finance Minister and Shri H.V.R.Iyengar, Governor of the Reserve Bank for the indulgence they are showing us in more than one way. We expect them to continue to be considerate to us, till we tied over the difficulties of a new-born state.

36. I must place on record my appreciation of the services rendered by Shri C.Damodar Reddy and Shri M.A.Abbasi for the way in which they worked at the Budget and for their vigilance in trying to safeguard the interests of the state.

37. I thank the speaker and Hon. Members of the House for the rapt attention with which they have listened to my speech.