Speech of Thiru.

Thangam Thenarasu, Minister for

Finance and Human Resources Management,
Government of Tamil Nadu, presenting the Budget
Estimates for the year 2024-25 to the Legislative
Assembly on 19th February 2024.

Hon‟ble Speaker,

It is my great honour and privilege to deliver the

Budget Speech for the financial year 2024-25 in this
august House. This budget will propel the growth of
Tamil Nadu, which is currently the second largest
economy in the country. I whole-heartedly thank our
Hon‟ble Chief Minister for his continued guidance and
support in preparation of this Budget.

2. I commence my speech with the immortal

kural of Saint Thiruvalluvar.

“காட்சிக்கு எளியன் கடுஞ்ச ால்லன் அல்லனேல்

மீக்கூறும் மன்ேன் நிலம்”.

(குறள் – 386)

“Where king is easy of access, where no harsh word repels,

That land's high praises every subject swells”

(Kural 386)
 2

The whole world will exalt the country of the king

who is easy of access, and who is free from harsh
language.

The words of Thiruvalluvar shall forever ring true!

3. It is a matter of great pride to Tamil Nadu

that our Hon‟ble Chief Minister is an epitome of kindness,
who embraces even the harshest of his critics
affectionately. He is a leader nonpareil, easily accessible
to the people from even the remotest corners of our
State.

4. As a prelude to my speech, I would like to

highlight before the Assembly a few major milestones
that are etched in the annals of history. Over the last
century, several pioneering welfare schemes that were
announced in the Budgets placed before this august
House have made Tamil people stand tall with pride,
paving the way for the successful growth story of
Tamil Nadu.

 Mullai Periyar Dam, the lifeline of southern Tamil

Nadu, was constructed based on a proposal
worth 87 lakh rupees sent to the British
Government in 1894 by Col. Pennycuick, the then
PWD Secretary of Madras Presidency.
 3

 Exactly 100 years ago in 1924, during the Prime

Ministership of Raja of Panagal of Justice Party in
the then Madras Presidency, the construction of
Mettur Reservoir across the Cauvery River was
announced in the budget and was completed
ten years later, in 1934-35, at a total allocation
of 647 lakh rupees. Today, it serves to benefit
16 lakh acres of irrigated land across 12 districts.

 In the Budget of 1939-40, the General Sales Tax

was introduced in Madras Presidency for the first
time in the country, at the rate of 1 per cent,
generating a revenue of 439 lakh rupees during
its first year.

 The noon meal programme was introduced

for the first time in the country in 1921 to
students in Thousand Lights School at a cost of
1 anna per day per student by the then
Chairman of Madras Municipal Corporation,
Sir PT Thyagarayar. In the budget of 1957-58,
this was expanded throughout the State by
Perunthalaivar Kamarajar, at a maximum cost of
eighteen rupees per year per student, with an
allocation of 10 lakh rupees for this scheme.

 With the objective of ensuring that the poor

and marginalized lead their lives with dignity,
 4

Muthamizh Arignar Kalaignar set up the

Slum Clearance Board in 1970 and a sum of
Rs.4 crore was allocated in the Budget Estimates
of 1971-72.

 In the Budget Estimates of 1982-83, the

Nutritious Meal Programme introduced by
Makkal Thilagam M.G.R. and later expanded
across the country was provided with an
allocation of Rs.100 crore.

 In 1990, Muthamizh Arignar Kalaignar

illuminated the lives of farmers by introducing
free electricity connections for agriculture, and
a sum of Rs.550 crore was allocated as subsidy.

 With the objective of improving the educational

status of Adi Dravidar and tribal girl children in
secondary schools, the free bicycle scheme was
introduced in 2001-02 at a cost of Rs.20 crore,
giving wings to their dreams.

 As a pioneering initiative in the entire nation,

Muthamizh Arignar Kalaignar introduced
a scheme of providing 1 kg rice at a cost of
1 rupee to ensure the nutritional security of
the poor and downtrodden, and a sum of
Rs.2,800 crore was allocated as subsidy in the
Budget Estimates of 2009-10.
 5

5. Following these landmark schemes that

have been significant milestones in our State‟s history,
Rs.500 crore was allocated for the Chief Minister‟s
Breakfast Scheme introduced by our Hon‟ble
Chief Minister and Rs.7,000 crore was allocated
for „Kalaignar Magalir Urimai Thogai‟, the flagship
scheme of this Dravidian Model Government in the
Budget Estimates 2023-24. These schemes will be
etched in the history of our Legislative Assembly for
posterity.

6. These people-oriented welfare schemes,

which have stood the test of time, have played
a major role in Tamil Nadu‟s growth story.
Our State‟s developmental trajectory was established
on a foundation of compassion towards the well-being
of poor and downtrodden, supported by significant
funding.

7. Tamils have always prospered when

compassion and treasure go hand-in-hand. The
prosperity of Tamil Nadu is known to the entire country
and I believe that the members of this assembly will
agree to the same.
 6

Hon‟ble Speaker!

8. During the discussions on the Budget

Estimates 1967-68, the then Finance Minister Perarignar
Anna had remarked “The lives of 3.5 crore people are
determined by the 64 pages in this Budget.
We have poured our heart and soul into the Budget.
It contains the aspirations and dreams of the
people who elected us”. These profound remarks of
Arignar Anna have been the lodestar for this
Budget.

9. Guided by these ideals of Arignar Anna,

we have strived to transform this Budget from a mere list
of numbers and statistics to a compendium of aspirations
of millions of Tamil people. We are driving our economy
forward amidst several unanticipated challenges and
constraints.

10. One hand, the coastal State of Tamil Nadu

has been frequently affected by natural disasters; on the
other hand, the state is being meted out step-motherly
treatment by the Union Government, which has
completely forgotten the principles of co-operative
federalism. The ideals of Thanthai Periyar, Arignar Anna,
Muthamizh Arignar have been the guiding force in
preparing this Budget, which aims to propel Tamil Nadu‟s
growth and development amidst these challenges.
 7

Hon‟ble Speaker !

11. “Virtues are the bedrock of a

Government”- This Government, which is
functioning on these ideals, under the leadership
of our Hon‟ble Chief Minister, has a grand
Tamil dream. Akin to the colours of a rainbow,
this dream has seven major objectives:

1. Social Justice

2. Welfare of the marginalized

3. Transforming young Tamils as global

achievers

4. Knowledge based economy

5. Equality focused on welfare of women

6. Sustainable Green Future

7. Tamil Language and Culture

This Budget has been prepared on these 7 pillars.

 8

Tamil Development

12. The twin epics of Tamil literature,

Silappathikaram and Manimegalai, which elaborate on the
cultural traditions and social tenets of the Tamil
community including unity, integrity in public affairs,
citizen rights, excellence in trade, communal harmony,
hunger eradication, and feminism will be translated into
25 Indian and foreign languages at a cost of Rs.2 crore.

13. With a view to showcasing our rich Tamil

literary works to the world and encouraging new works in
Tamil by drawing inspiration from works of notable
international scholars and authors, this Government has
successfully organized the Chennai International Book
Fair for the second consecutive year. This event
witnessed participation of more than 75 publishers
and literary agents from 40 countries. Further, a total of
752 Memoranda of Understanding (MoUs), including
483 MoUs dedicated to translating Tamil works into other
languages, were signed during the event.

14. It is noteworthy that the Government has

taken efforts to translate twice as many literary works in
two years than were done in the last two centuries.
Beginning this year, efforts will be taken to house
translations of important Tamil literary works in the top
100 universities and renowned libraries across the world.
 9

To spread the euphonious notes of Tamil language

across the world, an allocation of Rs.2 crore will be
made in the coming year.

15. Muthamizh Arignar Kalaignar, during his

tenure as Chairman of the Tamil Nadu Textbook and
Educational Services Corporation, accomplished the
admirable feat of publishing 875 Arts and Science
textbooks of 32 departments in Tamil for college
students. Following his steps, the Corporation has
published 340 translated volumes in a variety of subjects
including medicine, engineering, arts, science, and
literature to commemorate his centennial year. In the
next three years, 600 more textbooks in Tamil will be
published by the Corporation.

16. In the twenty-fifth year since the

„TamilNet-99‟ conference was held under the guidance
of Muthamizh Arignar Kalaignar, this Government has
conducted the International KaniTamil-24 Conference
this year with resounding success. This event witnessed
wider participation of Tamil scholars, technology experts,
and senior executives in IT and e-commerce companies
from across the world, who deliberated and developed
action plans on the role of Tamil in emerging
technologies. In order to ensure that Tamil flourishes in
the rapidly advancing technological landscape, an
 10

allocation of Rs.5 crore will be made to enable startups

to develop Natural Language Processing and Large
Language Models based on machine learning and artificial
intelligence.

17. With over 90,000 Tamil books, periodicals,

and rare publications, along with approximately eight
lakh pages of palm scripts, the Tamil Digital Library,
created by the Tamil Virtual Academy, has become the
largest digital library in South Asia. This digital repository
has been accessed by a staggering five crore readers in
the last two years. In order to enable future generations
to appreciate the richness of Tamil language and the
glorious history of Tamil people, a project to digitize
rare books and documents will be undertaken at a cost of
Rs.2 crore.

Documentation of Linguistic Resources of the

Tribes

18. With a view to documenting and preserving

the Saurashtra and Baduga languages spoken in
Tamil Nadu, along with the linguistic resources and
phonetic forms of various tribes such as Todar, Kothar,
Solagar, Kani and Narikuravar from an ethnographical
perspective, the Government of Tamil Nadu will allocate
Rs.2 crore for the benefit of future generations.
 11

Culture

19. In their journey of cultural heritage,

Tamil people worldwide are unified across generations by
one single word "Keezhadi". The entire Tamil community
rejoiced and celebrated when archaeological excavations
near Madurai, on the banks of the Vaigai River, revealed
the remains of a thriving and prosperous Sangam-era
civilization. With the assistance from linguists, historians,
researchers and technical experts, this Government is
making every effort to firmly establish the rich ancient
and cultural legacy of the Tamil people, based on credible
evidence recognized by the academic community.

20. Taking this effort forward, archaeological

excavations will be undertaken in eight locations across
Tamil Nadu viz. Keezhadi in Sivagangai District,
Vembakottai in Virudhunagar District, Porpanaikottai in
Pudukottai District, Keelnamandi in Thiruvannamalai
District, Tirumalapuram in Tenkasi District, Konkalnagar
in Tirupur District, Marungur in Cuddalore District,
and Chennanur in Krishnagiri District in 2024-25.
Further, archaeological exploration will be conducted
in major sites outside Tamil Nadu including
Musiri (Pattanam) in Kerala, Palur in Odisha, Vengi in
Andhra Pradesh, and Maski in Karnataka, in an attempt
to rediscover the history of ancient Tamils.
 12

An amount of Rs.5 crore will be allocated for this

purpose. I am happy to note that Tamil Nadu is the
only State in the country which has been
consistently providing significant funding for
archaeological excavations.

21. Further, a pilot study to undertake deep sea

excavation will be conducted, in collaboration with the
National Institute of Ocean Technology and the Indian
Maritime University, in the coastal regions of Korkai and
Alagankulam, the ancient ports of the Pandyas, at a cost
of Rs.65 lakh.

22. An open-air museum will be constructed at

the Keezhadi excavation site, at a cost of Rs.17 crore, in
order to showcase the brick structures, ring wells, and
factory zones found in the Keezhadi excavations.
Moreover, to determine the genetic antiquity, migration
patterns, agricultural practices, cultural traditions, and
dietary habits of the Tamil people, an amount of
Rs.3 crore will be sanctioned for a study using advanced
genomic methodologies at the genetics laboratory of
Department of Culture in Madurai Kamarajar University.

23. In 1924, the former Director General of

Archaeological survey of India, Sir John Marshall,
discovered the Indus Valley Civilization. To commemorate
this event, an „Indus Valley Civilization Centenary
 13

Conference‟ will be convened this year in Chennai inviting

participation from renowned scholars across the world.

Rural Development

24. Even in the twenty-first century, huts persist

in rural areas as an enduring symbol of poverty.
In the Indian society plagued with disparity, this
transition to safe and permanent houses accords an
opportunity to people to live with dignity. Fully aware of
this reality, Muthamizh Arignar Kalaignar introduced
a pioneering initiative in 1975 marking the first
instance in the country where permanent houses
were constructed for hut-dwellers in rural areas.
Subsequently, the 'Kalaignar Veedu Vazhangum Thittam'
was launched in 2010 for achieving the goal of a hut-free
Tamil Nadu.

25. In the recent survey conducted by this

Government for replacing huts with safe and permanent
concrete houses in rural areas of Tamil Nadu, it has been
found that approximately eight lakh huts continue to
exist. Hence, to create a 'Hut-Free Tamil Nadu' by
2030, eight lakh concrete houses will be
constructed in rural areas. In the first phase, one
lakh new houses will be built at a unit cost of
Rs.3.50 lakh per house in the coming year.
 14

26. The selected beneficiaries will be provided

with house sites in case they are landless and will be
provided with funds for constructing the house directly
into their bank accounts. With a scientific survey and
transparent selection process, a new scheme,
'Kalaignarin Kanavu Illam', will be implemented in
the coming year at a cost of Rs.3,500 crore,
providing an opportunity for the poor to build their dream
homes.

27. Under the „Mudhalvarin Grama Salaigal

Membattu Thittam‟ launched by the Government to
expand the network of quality roads to remote villages,
road development works covering 2,000 km will be taken
up at a cost of Rs.1,000 crore in the coming year.

28. With the noble intention of providing basic

amenities to all hamlets of Tamil Nadu, thus making them
self-sufficient, works are being taken up under the
„Anaithu Grama Anna Marumalarchi Thittam–II‟
implemented in 2,482 Village Panchayats at an estimated
cost of Rs.1,147 crore in the coming year.

29. More than a century ago, in the year 1919,

safe piped drinking water was supplied for the first time
in the country in the town of Erode by the then Chairman
of Erode Municipality, Thanthai Periyar. Water was
pumped from Cauvery River and stored in an overhead
 15

tank with a capacity of 5 lakh litres to be distributed

through city-wide pipeline network. It is a matter of
pride to all of us that Thanthai Periyar, who guided our
State with the clarion call of „Maanamum Arivum
Manidhanukku Azhagu (Dignity and Knowledge are the
virtues of mankind)‟, prioritized the supply of safe
drinking water as the primary duty of local bodies, and
successfully implemented this scheme. The Dravidian
Model Government, led by the Hon‟ble Chief Minister,
which is marching ahead on the path laid out by
Thanthai Periyar, has provided 46 lakh drinking water
connections to rural households in the last three years.
Further, in the coming year, 2,000 new overhead
tanks will be constructed in rural local bodies, at a
cost of Rs.365 crore, replacing the old structures.

30. Tamil Nadu stands out as the most urbanized

State in the country. In the rapidly growing extended
areas adjacent to Municipal Corporations such as Greater
Chennai Corporation, there is a felt need to develop road
infrastructure, drinking water supply and street lighting
facilities. Recognizing this, various development
works including upgradation of roads will be
carried out in these areas, at an estimated cost of
Rs.300 crore, in the coming year.
 16

31. Even 2,000 years ago, Tamil society had

reached the pinnacle of effective water management,
as is evident from the construction of Kallanai Dam to the
establishment of chain of lakes and ponds, symbolyzing
the phrase „Vinnin Mazhaithuli Mannin Uyirthuli‟ (Rain is
the Life of the Soil)‟. These water bodies have gradually
deteriorated over time due to encroachment and lack of
maintenance. In an effort to address this issue,
a landmark initiative will be launched in the coming year
to restore waterbodies by rehabilitating minor irrigation
tanks, ponds and their feeder channels in Panchayat
Unions. This major project, aimed at restoring
5,000 water bodies, will be implemented through
community participation under the guidance of
leading scientific institutions, at an estimated
cost of Rs.500 crore.

32. Tamil Nadu stands tall as the best performer

in the country in implementing the Mahatma Gandhi
National Rural Employment Guarantee Scheme, which
was launched by the United Progressive Alliance (UPA)
Government to provide a social security net to the poor
in rural areas. Currently, employment is being provided
to 92 lakh workers including 26 lakh Adi Dravidar
workers, and 1.6 lakh tribal workers. It is noteworthy
that 79 lakh women are benefiting under this scheme.
 17

An allocation of Rs.3,300 crore has been earmarked for

this scheme in the Budget Estimates.

33. In order to prevent environmental pollution in

rural areas due to non-biodegradable waste including
plastic waste, a new agency dedicated to creating
a hygienic environment in Tamil Nadu will be established.
It will be responsible for ensuring timely collection and
recycling of non-biodegradable waste, as well as
providing fuel for industrial use by creating an effective
solid waste management system, through local bodies.

Poverty Alleviation

34. Over the past century, Tamil Nadu has

made significant strides in reducing poverty through
a multitude of pioneering social welfare programmes,
setting an example for the entire nation. The recent
report by Niti Aayog, the Union Government's policy think
tank, has endorsed this progress, highlighting Tamil
Nadu's remarkably low multidimensional poverty index of
only 2.2 per cent. This Government remains steadfast in
its commitment to identify and uplift those living in
extreme poverty. In the next two years, this
Government will launch the final assault on
poverty, rescuing around five lakh of the poorest
families from poverty by providing all the
 18

necessary Government assistance in an integrated

manner.

35. Under this scheme, most vulnerable sections

of the society including the destitutes, elderly persons
living alone, single-parent families, orphaned children,
mentally challenged, differently-abled persons, and
families with children requiring special assistance will be
identified. In addition to fulfilling their basic needs, the
requirements of education, employment opportunities,
skill development and housing will be met under this
scheme. The identification of the poorest of the poor
families will be carried out through convergence of official
databases, field inspections, community participation,
and Gram Sabha sessions. The participation of elected
representatives, charitable organizations, and banks
will be ensured in this grand initiative namely,
„Chief Minister‟s Thayumanavar scheme‟. In the
Budget Estimates, a sum of Rs.27,922 crore has been
allocated for the Rural Development and Panchayat Raj
Department.

Municipal Administration and Water Supply

36. The Government is executing various

schemes aimed at providing essential amenities such as
drinking water connections, public health facilities, link
roads, street lights, modern electric crematoria, libraries,
 19

knowledge centres, underground drainage systems and

other social infrastructure in urban areas. In the last
three years, under Kalaignar Nagarpura Membattu
Thittam, projects at a cost of Rs.1,328 crore have been
completed and works at a cost of Rs.1,659 crore are
under various stages of implementation. In the coming
year, an amount of Rs.1,000 crore will be allocated to
implement this scheme. Further, works under AMRUT 2.0
scheme with Union share of Rs.4,942 crore and State
share (including share of local bodies) of Rs.9,047 crore
are under progress. In the coming year, 4,457 km
length of urban roads will be upgraded at a cost of
Rs.2,500 crore through convergence of various
schemes.

37. The Government of Tamil Nadu has launched

„Singara Chennai 2.0‟ to provide modern, world-class
infrastructure and services in Greater Chennai
Corporation and its 42 extended areas. In the last three
years, 1,183 projects at a cost of Rs.1,500 crore have
been undertaken by this Government so far. An allocation
of Rs.500 crore is provided in the next financial year for
this scheme.

38. The rapid urbanization of Chennai has led to

a significant increase in vehicular traffic and congestion
across the city. To address this issue, roads with high
 20

traffic density have been identified and in the initial

phase, New Avadi Road, Paper Mills Road, and
Sembiyam-Redhills Road will be widened to 18 meters,
while Dr.Radhakrishnan Road and Kalki Krishnamurthy
Road will be widened to 30.5 meters. This project,
amounting to Rs.300 crore, will be executed using the
Transfer of Development Rights (TDR).

39. With an aim of transforming Chennai as

Singara Chennai, Chennai Metropolitan Development
Authority is establishing modern public infrastructure
amenities including an urban public square with natural
landscapes, exhibition halls and open-air theatres
in Island Ground at a cost of Rs.104 crore. In addition,
beaches at Besant Nagar, Ennore, and Kovalam
will be embellished with modern facilities at a cost of
Rs.100 crore.

40. While Chennai is one of the fastest growing

cities in the country, certain areas of the city especially in
North Chennai experience acute deficiencies and gaps in
infrastructure. To ensure balanced and equitable
development across the city, „Vada Chennai
Valarchi Thittam‟, a new initiative is being
implemented by this Government. Under this scheme,
development works to the tune of Rs.1,000 crore will be
undertaken. These include construction of new tenements
 21

at Water Basin Road through Tamil Nadu Urban Habitat

Development Board (TNUHDB) at an estimated cost of
Rs.75 crore, super-speciality block in Children‟s Hospital,
Egmore at a cost of Rs.53 crore, 2 new blocks in RSRM
hospital, Royapuram at a cost of Rs.96 crore, 3 new
floors in Government Peripheral Hospital, Periyar Nagar
at a cost of Rs.55 crore, new ITI at a cost of Rs.11 crore,
restoration of Retteri, Villivakkam and Padi lakes at a cost
of Rs.30 crore, and modernization and computerization of
10 schools at a cost of Rs.45 crore.

41. The capacity of the existing sewage

treatment systems and the sewage disposal machines of
Chennai Metro Water Supply and Sewerage Board are
insufficient to meet the growing needs of the burgeoning
population in North Chennai areas of Greater Chennai
Corporation. Therefore, a new project to improve the
sewerage and drinking water infrastructure, and reduce
water pollution in North Chennai will be initiated at a cost
of Rs.946 crore.

42. A state-of-the-art Hi-tech Film City will be

established in Poonamallee near Chennai, spanning
approximately 150 acres, at an estimated cost of
Rs.500 crore. This city of dreams will contain studios with
cutting-edge technologies such as VFX and animation,
LED wall facilities, and infrastructure for film shooting
 22

and post-production activities. This will be established

through public-private partnership (PPP).

43. This Government is committed to creating

clean and green living spaces for urban residents in the
State. It is also committed to revitalizing the major
waterways of Chennai including Adyar, Coovum,
Buckingham canal, and Kosasthalaiyar. In the initial
phase, the Adyar River which flows from Guduvanchery
in Chengalpet district through Tambaram, Tiruneermalai,
Manapakkam, Alandur and Saidapet before reaching
the Bay of Bengal will undergo restoration and
beautification through the Chennai Rivers Restoration
Trust. This initiative, with an estimated cost of around
Rs.1,500 crore, will be implemented through
public-private partnership. This includes notable features
such as the installation of a 70 km long sewage pipeline
on the banks of Adyar River as an alternative channel for
sewage discharge, establishment of 14 sewage treatment
plants with cumulative capacity of 110 MLD, and
increasing green spaces by developing four parks along
the riverbanks. The project is scheduled to commence
shortly and is expected to be completed within a duration
of 30 months. The works from Saidapet to Thiru.Vi.Ka.
bridge will be prioritized and completed within a target
period of 15 months.
 23

44. காவிரி சென்செண்ணை

ொலாறு-ெமிழ்
கண்டனொர் ணைணய
சொருணை ைதி- எே
னமவிய ஆறு ெலனைாடத்
திருனமனி ச ழித்ெ ெமிழ்ைாடு

The Government is implementing several

schemes following the sentiment echoed in the profound
words of Mahakavi Bharathiyar. Comprehensive survey
work and detailed project reports will be prepared for
riverfront development along the banks of Vaigai,
Cauvery, Thamirabarani and Noyyal rivers that flow
throughout the cities of Madurai, Tiruhirappalli,
Tirunelveli, Erode and Coimbatore with the objective of
river restoration and promoting public spaces such as
open-air stadia and riverside parks with lush greenery.
An amount of Rs.5 crore will be earmarked for this
purpose.

45. Creation of parks and expansion of green

cover are vital for reducing air pollution in urban areas
that are experiencing a rapid growth of skyscrapers.
Hence, various initiatives such as planting of tall trees,
Miyawaki forests, green roofs, vertical gardens, green
subways, green screens, and planting trees along foot
pavements will be undertaken to expand green spaces
across all corporations and municipalities in Tamil Nadu,
 24

including the Greater Chennai Corporation. This new

„Urban Greening Project‟ will be implemented with
active involvement of Green Tamil Nadu Mission,
Non-Governmental Organizations and through
community participation.

46. Currently, pilot projects for 24x7 drinking

water supply are under various stages of implementation
in 12 Municipal Corporations/Municipalities including
Erode, Vellore, Cuddalore, Tiruchirappalli, Thoothukudi,
Tirunelveli, Dindigul, Tambaram, Nagercoil, Karaikudi,
Rajapalayam, and Pudukottai. Expanding the coverage,
projects for provision of uninterrupted 24x7 drinking
water supply will be initiated in Madurai and Salem
Corporations in the coming year.

47. In Greater Chennai Corporation, a project

is under implementation to build new public toilets
to upgrade and modernize existing structures, and
manage their operation and maintenance through
the public-private partnership mode, at a cost of
Rs.430 crore. Similarly, steps will be taken to develop,
operate, and maintain modern public toilets in
Coimbatore, Tiruchirappalli, and the remaining areas of
Greater Chennai Corporation in the coming year.

48. With the objective of fulfilling the drinking

water needs of Chennai city, a 150 MLD Desalination
 25

Plant is being established in Nemmeli at a cost of

Rs.1,517 crore, benefiting 9 lakh people. The works are
nearing completion and the plant will be operationalized
soon.

Water Supply

49. The second phase of the Hogenakkal

combined water supply scheme, which is successfully
operating since 2007, will be undertaken at a cost of
Rs.7,890 crore. This scheme will benefit 40 lakh people
living in Hosur corporation, Krishnagiri and Dharmapuri
Municipalities, 16 Town Panchayats, and 6,802 rural
habitations located in 20 Panchayat Unions of
Dharmapuri and Krishnagiri Districts, thereby giving a
boost to the industrial growth in the region.

50. A combined water supply scheme using

Kollidam River as source will be implemented for
providing water to approximately 65,000 people in
Perambalur Municipality, and SIPCOT Industrial Complex
located at Erayur and Padalur in Perambalur District,
at an estimated cost of Rs.366 crore.

51. In order to provide clean drinking water to

approximately two lakh residents living in 216 rural
habitations covering four Panchayat Unions in Namakkal
district, namely Senthamangalam, Erumapatti,
 26

Kapilarmalai, and Paramathi, a combined water supply

scheme will be implemented with Cauvery river as the
source, at a cost of Rs.358 crore.

52. A combined water supply scheme, with

Vaigai as the source, will be undertaken at a cost of
Rs.565 crore to benefit approximately six lakh residents
of 425 rural habitations in Dindigul Corporation,
Chinnalapatti and Sevukambatti Town Panchayats, and
Panchayat Unions of Attur, Nilakottai, and Vathalakundu.
In the Budget Estimates, a sum of Rs.25,858 crore has
been allocated for the Municipal Administration and Water
Supply Department.

Women Welfare

53. Following the golden words of Dr. Ambedkar

“I measure the progress of a community with the
degree of progress women have achieved”,
the Government of Tamil Nadu is dedicated to fostering
an egalitarian society where gender inequality is
eliminated. To accomplish this vision, the Government
has initiated numerous pioneering and exemplary welfare
schemes for women such as ensuring equal property
rights, reservation in education, employment, and local
bodies, and initiatives such as the Vidiyal Payana
Thittam. In adherence to our commitment of “We do
what we say and we say what we do”, an amount of
 27

Rs.1,000 per month is being directly deposited in the

bank accounts of 1.15 crore women heads of households
under the Kalaignar Magalir Urimai Thittam.

54. The monthly assistance of Rs.1,000 will not

only help the women heads of households who are
adversely affected in their daily lives due to
ever-increasing family expenses but also helps them to
set aside a substantial amount as savings. The objective
of this scheme, its data-driven selection process, use of
technology in implementation and transparency have
received widespread acclaim. We hope that this
pathbreaking scheme will be replicated in various
States across the country in future, thus benefiting
women nationwide. For this scheme, an amount of
Rs.13,720 crore has been allocated in the coming
year.

55. One among the first five files signed by the

Hon'ble Chief Minister of Tamil Nadu on his first day of
assuming office, was the „Vidiyal Payana Thittam‟ to
provide free bus travel to women. Various studies
indicate that this hugely popular scheme has significantly
contributed to the socio-economic empowerment of
women. Through this scheme, the percentage of women
ridership has increased substantially from 40 per cent to
65 per cent. On average, 50 lakh women travel daily in
 28

the buses run by State Transport Corporations and a total

of 444 crore trips have been made by women.
This scheme has been extended to transgenders, and
severely disabled persons and their attendants. For the
benefit of women living in hilly areas, this scheme
will be further extended to hilly areas of Nilgiris,
Kodaikanal and Valparai from the coming year.
In the Budget estimates 2024-25, an amount of
Rs.3,050 has been provided as subsidy for this
scheme.

56. A progressive State moulds the objective and

execution of its welfare programs to suit the constantly
evolving needs of society. As such, the Moovalur
Ramamirtham Ammaiyar Puthumai Penn Thittam has
been introduced to promote higher education among girl
students from economically disadvantaged sections by
providing monthly assistance of Rs.1,000 to 2.73 lakh
beneficiaries. I take pride in informing this august House
that the enrolment of girl students in the first year of
higher education has increased by 34 per cent this year,
with an additional 34,460 girl students enrolling after the
implementation of this scheme. Beginning from the next
academic year, this scheme will be extended to girl
students studying in Government-aided schools in
Tamil medium. A sum of Rs.370 crore will be
 29

allocated for the implementation of this scheme in

the coming year.

Chief Minister‟s Breakfast Scheme

57. "Nothing is more powerful than an idea

whose time has come". This timeless phrase of French
literary doyen, Victor Hugo, has been brought to life by
our Hon‟ble Chief Minister in the twenty-first century.

58. The flagship schemes of Mid-Day Meal

scheme and Nutritious Meal Programme continue to be
effectively implemented in the State. However, several
scholars and nutritionists for long have been requesting
to introduce a breakfast scheme as many students attend
school without having breakfast, resulting in malnutrition
and an inability to concentrate in studies. But, Time
waited for our Hon‟ble Chief Minister to script
history.

59. Founded on the principles of social justice,

the flagship scheme of this Dravidian model Government
„The Chief Minister‟s Breakfast Scheme‟ was inaugurated
at Madurai in 2022 on the birth anniversary of Perarignar
Anna, and later expanded in 2023 to all the 30,992
Government schools from classes I to V, benefiting
15 lakh students. Research studies indicate that the
implementation of this scheme has led to an
 30

improvement in attendance, nutritional levels, and

learning outcomes of the students.

60. To uphold the noble vision of our Hon'ble

Chief Minister, who proclaimed, "We are willing to
make any sacrifice to ensure widespread access to
school education, foster enjoyable learning
experiences, and ensure students learn without
hunger”, the scope of this scheme will be broadened to
encompass Government-aided schools in rural areas
of the State starting from the upcoming academic
year, thus benefiting around 2.5 lakh students
enrolled from Class I to Class V. In the next
financial year, an allocation of Rs.600 crore will be
earmarked towards this initiative.

61. To address severe malnutrition among

children, the „Uttachatthai Uruthi Sei‟ initiative has
been successfully implemented in Tamil Nadu. This
program has resulted in 74 per cent of malnourished
children under the age of six months attaining normal
nutritional levels. In order to uplift the nutritional status
of severely malnourished children in this age group,
a nutritional kit will be provided to their mothers. A total
of 500 new anganwadis will be constructed at a cost of
Rs.70 crore to ensure basic infrastructure facilities for
anganwadis currently functioning in rented buildings.
 31

In the Budget Estimates, an amount of Rs.3,123 crore

has been allocated for the Integrated Child Development
Scheme.

62. The seeds for Self-Help Group (SHG) mission,

which were sown in Dharmapuri district in 1989 by
Muthamizh Arignar Kalaignar today, have transformed
into a nationwide movement, bringing prosperity to the
lives of crores of women. This Government is making
continuous efforts to strengthen the SHG network and
provide skill training to cultivate a habit of saving among
women, thereby transforming them into entrepreneurs
and enabling them to claim their rightful place in the
society. In furtherance of this, 10,000 new SHGs will be
formed this year to include women from marginalized
sections, who have not been part of the SHG network so
far. The credit disbursement target has been fixed at
Rs.35,000 crore for the year 2024-25.

63. One of the flagship schemes that stands out

in Tamil Nadu is the „Thozhi‟ working women's hostel
scheme. Currently, „Thozhi‟ hostels, equipped with
modern amenities, are functioning across 10 locations
including Tambaram, Thiruchirapalli, and Guduvanchery,
benefiting 1,145 women at a cost of Rs. 35 crore. 3 new
„Thozhi‟ hostels are being constructed in Chennai,
Thiruvannamalai, Hosur at a cost of Rs.36 crore,
 32

benefitting 432 women. Building upon this success,

new „Thozhi‟ hostels will be constructed this year
in important cities such as Chennai, Coimbatore
and Madurai, at a cost of Rs.26 crore, benefiting
345 women.

64. Tamil Nadu has been a frontrunner in

successfully implementing several innovative schemes for
the welfare of transgenders. Higher education plays a
pivotal role in enhancing the socio-economic status and
success of individuals belonging to the third gender.
However, only a limited number of transgender
individuals are pursuing higher education in Tamil Nadu
at present. In light of this, the Government will cover
all educational expenses including tuition and
hostel fees for transgender individuals who want to
pursue higher education. An additional allocation of
Rs.2 crore will be made to the Transgender Welfare Board
by the Government for this initiative in the coming year.

65. In accordance with the recommendations put

forth by the One-man committee chaired by former
Justice Thiru. K. Chandru, which was constituted to
provide comprehensive suggestions for the efficient
operation and administration of Government Observation
Homes, Special Homes, and Places of Safety, the
Government has decided to implement necessary reforms
 33

in this sector. Consequently, the department, currently

known as the „Directorate of Social Defence‟, will suitably
be renamed as the „Department of Children Welfare
and Special Services‟. Furthermore, additional posts
including the Chief Protection Officer will be created, and
efforts will be made to strengthen human resources
within the department.

66. Further, in the first phase, a model home

called „Poonjolai‟ will be set up in Coimbatore with
amenities such as skill training centre, counselling rooms,
library, family members‟ visiting room, medical
examination room, park and playground for children.
In the Budget Estimates, a sum of Rs.7,830 crore has
been allocated for the Social Welfare and Women
Empowerment Department.

School Education

67. Muthamizh Arignar Kalaignar once stated,

"Education alone is the greatest weapon for
achieving equality". With a profound commitment to
educational advancement, and to commemorate the
centenary of Perasiriyar Anbazhagan, a distinguished
educationist who made significant contributions to
Tamil Nadu's educational landscape, this Government
announced the ambitious scheme 'Perasiriyar
Anbazhaganar School Development Program', with an
 34

outlay of Rs.7,500 crore over a period of 5 years.

Projects at a cost of Rs.2,497 crore are being undertaken
and construction of new classrooms at a cost of
Rs.1,000 crore will be further undertaken in the
coming year.

68. Model schools function as centres of

excellence for achieving the lofty objective of
transforming Government school students into achievers.
Every student enrolled in these institutions has the
opportunity to secure admission in premier higher
education institutions across the country. In the last
three years, 38 model schools have been established at a
cost of Rs.352 crore. Further, 28 schools in various
districts have also been upgraded as „Schools of
Excellence‟ at the cost of Rs.100 crore.

69. In order to introduce modern technology

among students, and create a conducive environment for
learning and modern pedagogy, works for setting up
8,209 Hi-Tech labs at a cost of Rs.525 crore and 22,931
smart classrooms at a cost of Rs.435 crore in all
Government middle schools and elementary schools
respectively are being undertaken. Further, 15,000
smart classrooms will be established in the
upcoming financial year at an estimated cost of
Rs.300 crore.
 35

70. During the COVID pandemic, it was not just

the physical confinement of children within four walls of
their homes but also their educational aspirations. The
Hon'ble Chief Minister launched the „Illam Thedi Kalvi‟
programme aimed at bringing the dropout children back
to schools and bridging learning gaps. This initiative,
implemented by volunteers in all habitations throughout
the State, has significantly contributed to recovery of
learning loss among children. A sum of Rs. 100 crore has
been allocated in the Budget for implementation of the
second phase of this scheme, in select focus areas, in the
next academic year.

71. Book fairs are being conducted in all the

districts of Tamil Nadu on the lines of Chennai Book fair,
with the noble intention of creating community of book
lovers. From 2022-23, these events are being conducted
with a financial assistance of Rs.13 crore. In the last
year, more than 55 lakh book lovers have participated in
these events, which have witnessed a sale of books
worth Rs.50 crore.

72. Libraries are an invaluable platform where

youth can sharpen their intellectual abilities. In order to
improve the infrastructural facilities of public libraries to
attract children, teenagers, and youth, a special scheme
will be implemented at an estimated cost of Rs.213 crore.
 36

In the Budget Estimates, a sum of Rs.44,042 crore has

been allocated for the School Education Department.

Higher Education

73. Tamil Nadu continues to maintain the pole

position in the country in gross enrolment ratio in higher
education. This Government is taking several measures
to sustain the level of achievement and continue
providing quality higher education in the State.
The infrastructure in Government colleges are being
upgraded under the „Perunthalaivar Kamarajar College
Development Scheme‟. Civil infrastructure will be
upgraded in Government Arts and Science colleges,
Engineering colleges and Polytechnics at a cost of
Rs.200 crore in the coming year. Computers and
other scientific equipment, with Integrated Learning
Management Systems, will be provided to 236
Government educational institutions including Arts and
Science, Engineering and Polytechnic colleges at a cost of
Rs.173 crore. A new scheme will be implemented at a
cost of Rs.3,014 crore to upgrade 45 Government
Polytechnic Colleges to Industry 4.0 standards.

74. The Government introduced the 7.5 per cent

horizontal reservation for Government school students in
professional courses including engineering and
agriculture in 2021-22. Further, the entire expenditure
 37

on education including tuition fees, hostel fees, and

transportation fees is being borne by the Government as
part of this initiative. In the coming year, the entire cost
of education of 28,749 students studying in various
professional courses under this scheme will be borne by
the Government at a cost of Rs.511 crore.

75. Coimbatore, one of the fastest growing cities

in India, has a diversified industrial eco-system, and is
best known for its passionate entrepreneurs, premier
educational institutions and warm hospitality. To kindle
the quest for knowledge among citizens, especially
youth, a grand library and science centre named
after Muthamizh Arignar Kalaignar will be set up in
Coimbatore. This institution will house books,
magazines, literary journals, along with exhibits on
various engineering and scientific streams like
astronomy, robotics, virtual reality, natural science,
among others. Further, an incubation hub to nurture
start-ups, and micro and small industries will be included.
This monument will act as the epitome of the rich
Tamil intellectual community. In the Budget Estimates,
a sum of Rs.8,212 crore has been allocated for the
Higher Education Department.
 38

Naan Mudalvan

76. With the vision of transforming Tamil youth

into global leaders, the Hon‟ble Chief Minister launched
the Naan Mudalvan programme. So far, about 28 lakh
students have been trained under this landmark scheme.
Further, around 18,000 Engineering and 20,000 Arts and
Science college teachers have been imparted training
under this scheme. Notably, 1.19 lakh students trained
under this scheme have secured placements last year.

77. Establishing a robust infrastructure for skill

training in colleges across Tamil Nadu is crucial. To this
end, new Skill Labs will be established in 100
Government and Government-aided Engineering,
and Arts and Science colleges in the coming year at
a cost of Rs.200 crore.

78. In an effort to increase the success rate of

aspirants from Tamil Nadu appearing in Union Public
Service Commission examination, 1,000 candidates are
selected annually and provided with assistance of
Rs.7,500 per month during preparation and an incentive
of Rs.25,000 on clearing the preliminary examination.
This programme is being implemented since the last year
with an allocation of Rs.10 crore. Following this, with an
objective of increasing the number of youth clearing
Staff Selection Commission, Railway and Bank
 39

examinations, 1,000 candidates will be selected

annually and provided quality training, with
boarding and lodging facilities, for six months in
Chennai, Coimbatore, and Madurai regions. A sum
of Rs.6 crore will be allocated for this purpose in
the coming year.

79. In order to enable Government school

students to become achievers, this Government has been
implementing several novel initiatives. As part of this
ongoing effort, a new scheme will be introduced in the
coming year to provide financial assistance to
Government school students for pursuing post-graduation
and research studies in renowned universities abroad.

80. The Moovalur Ramamirtham Ammaiyar

Pudhumai Penn Scheme has been successful in achieving
the objective of increasing enrolment of girls and has
now revolutionised the participation of girls in higher
educational institutions. On the same lines, to help boys
from poor and marginalized background, studying
in Government schools, realize their dreams of
higher education and transform them into
achievers, a grand scheme “Tamizh Pudhalvan“
will be implemented from the coming financial
year. Under this scheme, boys who have studied in
Government schools from 6th to 12th standard will be
 40

provided financial assistance of Rs.1,000 per month in

their bank accounts directly. This assistance would enable
them to purchase textbooks, general knowledge books
and magazines to improve their academic performance.
Through such initiatives, the potential of the youth
will be harnessed and channelized to enable them to
become future pillars of our State and the Nation.
This ambitious scheme will benefit around
3 lakh students and will be implemented at a cost of
Rs.360 crore from the coming year.

81. The Government will take proactive

steps to ensure that education loans to the tune of
Rs.2,500 crore will be sanctioned and disbursed by
various banks to one lakh college students in the coming
year. This will fulfill the educational aspirations of
students and reduce the financial burden on their
parents.

Youth and Sports Welfare

82. With the lofty goal of making Tamil Nadu as

the „Sports Capital of India‟ and to ensure that sports
talent from Tamil Nadu succeed in Olympics, four Olympic
Academies will be established in Chennai, Madurai, Trichy
and the Nilgiris to provide world-class training in various
sports including badminton, volleyball, basketball and
 41

athletics. Apart from providing world-class training, they

will also serve as Centres for Sports Science.

83. The Chief Minister's Youth Festivals will be

conducted throughout the State with the aim of
harnessing the energy of our youth, nurturing their
interest and ultimately moulding them into globally
acclaimed achievers. Competitions in speech, singing,
music, and dance will be held to showcase the artistic
talents of young individuals. „Kalaignar Sports Kit‟
containing 33 items of exercise and sports equipment for
sports including cricket, volleyball, football, badminton,
silambam will be provided in every village panchayat of
the State.

84. The Government is firmly committed to the

principles of inclusive growth. As part of this endeavour,
six sports centres exclusively for para-athletes are being
established for the first time in the country. With the aim
of enhancing the skills of differently abled sports persons,
these centres will have specialized playgrounds for
various sports including badminton, volleyball, and
fencing.

85. India's first Tamil Nadu Olympic Water Sports

Academy will be established in Pirappanvalasai in
Ramanathapuram district. This initiative aims to
stimulate the interest of youth in marine water sports,
 42

while also establishing world class infrastructure for

aquatic sports. In the Budget Estimates, a sum of
Rs.440 crore has been allocated for the Youth Welfare
and Sports Development Department.

Labour Welfare

86. This Government is dedicated to improving

the skills of youth to equip them to acquire quality jobs.
Towards this, 71 Government Industrial Training
Institutes have been upgraded to meet the standards of
Industry 4.0 and transformed into „Centres of Excellence‟,
at a cost of Rs.2,877 crore.

87. In addition, the Government will set up

10 new Government Industrial Training Institutes
at Veppur in Cuddalore district, Guziliamparai in Dindigul
district, Pochampalli in Krishnagiri district,
Sendamangalam in Namakkal district, Gandarvakottai in
Pudukkottai district, Kamuthi in Ramanathapuram
district, Natrampalli in Tiruppathur district, Koothanallur
in Tiruvarur district, Chengam in Tiruvannamalai district
and Eral in Thoothukkudi district with smart classrooms
to enhance learning skill of students, at a cost of
Rs.111 crore.
 43

Health and Family Welfare

88. The State has already achieved the

Sustainable Development Goals (SDG) related to
maternal and child health, set to be accomplished by
2030, through consistent and sustained efforts of the
Health and Family Welfare Department. To reduce the
increasing incidence of non-communicable diseases in
Tamil Nadu, it is crucial to control high blood pressure
and diabetes, which are the main contributors to the
overall increase of these diseases. With this objective,
the Government of Tamil Nadu is implementing the
„Makkalai Thedi Maruthuvam‟ programme. A sum of
Rs.243 crore will be allocated for this laudable scheme to
provide healthcare services to people at their doorsteps.

89. With more than 50 per cent of treatment

under health insurance scheme being availed in the
Government hospitals, Tamil Nadu has become the
leading State for nation. In order to further enhance
healthcare services in Government hospitals, an amount
of Rs.200 crore from the insurance corpus fund will be
allocated towards upgrading their infrastructure facilities.

90. This Government is taking earnest efforts to

expand the pioneering „Innuyir Kappom: Nammai
Kaakkum - 48 Thittam‟, which has saved invaluable
human lives and has benefitted more than 2 lakh people
 44

so far. Considering the costs of treatment, the maximum

threshold for availing free of cost treatment during
the first 48 hours post accident will be raised from
one lakh rupees rupees to two lakh rupees.

Enhancing the Healthcare Infrastructure of

Tamil Nadu

91. The infrastructure of the Intensive Care Units

(ICUs) and diagnostic services across the State will be
further upgraded in the coming financial year.
The Government hospitals at Rameswaram in
Ramanathapuram District, Sendurai in Ariyalur District,
Sriperumbudur at Kancheepuram District, Arakkonam in
Ranipet District and Government Medical College
hospitals in Theni and Salem will be equipped with
six intensive care units with 50 beds each, at an
estimated cost of Rs.142 crore. A 100 bedded ICU
will be constructed at Perundurai Government Medical
College hospital in Erode district at an estimated cost of
Rs.40 crore. Further, additional buildings will be
constructed in 25 Taluk and non-Taluk hospitals at a cost
of Rs.87 crore. The Tamil Nadu Government Dental
College hospital in Chennai will also be upgraded at a
cost of Rs.64 crore.

92. More than providing quality treatment to

cancer patients, early detection of the disease is critical
 45

in reducing mortality. With this objective, this

Government has strengthened cancer departments in
various hospitals across the State. This Government will
implement a new Cancer Management Mission that will
focus on several disease management strategies
including creating awareness about the incidence of this
disease, early detection, effective treatment and
rehabilitative care. Further, additional equipment for
advanced cancer treatment will be provided to the
Government Arignar Anna Memorial Cancer Hospital to
upgrade this institution into a „Centre of Excellence‟.

93. De-Addiction Centres will be established in

25 Government Hospitals to specifically cater to the
treatment of persons affected by substance abuse due to
alcohol, drugs and other psychotropic substances by
offering institution based counselling, treatment and
rehabilitation services at a cost of Rs.20 crore. In the
Budget Estimates, a sum of Rs.20,198 crore has been
allocated for the Health and Family Welfare Department.

Industrial Development

94. India's first PM-MITRA Textile Park (Pradhan

Mantri Mega Integrated Textile Region and Apparel Park)
was launched in Virudhunagar district last year as a joint
effort of the Union and the State Governments. This park
is poised to become an integrated hub for value-added
 46

textiles and apparel industries. The development works

for this Park will commence in the coming year at a cost
of Rs.1,683 crore, creating two lakh job opportunities.
Further, an Integrated Textile Park, spanning 111 acres
will be developed by SIPCOT in Salem district with an
anticipated investment of Rs.800 crore, leading to
creation of 8,000 employment opportunities.

95. In order to create employment opportunities

in Thanjavur region, SIPCOT will establish a new
industrial park, spanning 300 acres near Sengipatti, at a
cost of Rs.120 crore. Dedicated efforts will be made to
focus on non-polluting industries such as food processing
and non-leather footwear in this park.

96. In order to fulfil the requirement of foreign

investors who wish to commence business operations
immediately, SIPCOT will implement a policy to promote
Plug and Play facilities from the coming year. In the first
phase, these Plug and Play facilities will be set up in
Shoolagiri in Krishnagiri district and Manallur in Tiruvallur
district through public-private partnership.

97. As the State with the highest contribution to

the number of women working in industries in India and
with significant gender parity in its labour ecosystem,
Tamil Nadu is a favoured destination for progressive
investors. Well aware of these advantages, the
 47

Government will introduce a special scheme to incentivize

additional women employment in the State. This scheme
will offer a payroll subsidy of 10 per cent of the
salary of women, differently abled and transgender
employees for two years to all new industrial units
providing direct employment to over 500 such
individuals from Tamil Nadu. In addition, creches
for infant children will be established in all major
SIPCOT industrial estates under public-private
partnership to support working women. A new
tailor-made skill training programme will be introduced to
facilitate women willing to re-enter the job market after
taking a sabbatical for reasons such as marriage and
pregnancy.

98. The recent Global Investors Meet served as

an ideal platform for ensuring balanced development of
the State. Among the Memoranda of Understanding
(MoUs) signed to the tune of Rs.6.64 lakh crore,
investments totaling Rs.1.12 lakh crore were committed
in southern districts of the State. Presently, ISRO is
developing a spaceport in Thoothukudi district for
launching Small Satellite Launch Vehicles. In proximity to
this facility, TIDCO will establish a new „Space
Industrial and Propellant Park‟, at an extent of
2,000 acres, to promote space technology
industries.
 48

99. As a testimony to Tamil Nadu's successful

transition to a knowledge based economy, large number
of prominent multinational companies are now
establishing their Global Capability Centres (GCC) in the
State. State-of-the-art research, design, product
prototyping and testing for the global market are now
being done in the State. In order to make Tamil Nadu as
the prime destination for GCCs in India, the State will
incentivise the creation of high paying jobs in new GCCs
by providing a payroll subsidy of 30 per cent in the first
year, 20 per cent in the second year and 10 per cent in
the third year for jobs with pay above Rs.1,00,000 per
month. The Government will also facilitate setting up of
GCCs in Coimbatore and Madurai. In the Budget
Estimates, a sum of Rs.2,295 crore has been allocated
for the Industries, Investment Promotion and Commerce
Department.

Micro, Small and Medium Enterprises

100. In the Budget Estimates 2024-25, an

allocation of Rs.101 crore has been earmarked to
provide subsidy assistance under the New Entrepreneur
cum Enterprise Development Scheme (NEEDS).
Further, steps are being taken to onboard majority
of the Public Sector Undertakings (PSUs) to participate on
the Trade Receivables Electronic Discounting System
 49

(TReDS) platform to ensure timely settlement of dues to

Micro, Small, and Medium Enterprises (MSMEs).

101. I am delighted to state that Tamil Nadu has

been recognized as a forerunner in the country in
creating a conducive ecosystem for start-ups owing to
the dedicated efforts made by this Government over the
past three years. To sustain this momentum, Chennai
will host the „Global Start-up Summit‟ in January
2025, bringing together leading startups and
accomplished young entrepreneurs from across the
world.

102. To identify and support enthusiastic and

dynamic entrepreneurs capable of addressing diverse
social development challenges, climate change needs,
and improving public services, the Periyar Social Justice
Venture Lab will be established. This centre will focus on
start-up companies founded and led by individuals
belonging to the marginalized sections including SC/ST
communities.

103. Three new industrial estates dedicated to

Micro, Small and Medium Enterprises will be
established in Ottanchathiram Taluk in Dindigul
District, Manamadurai Taluk in Sivagangai District
and Thiruthuraipoondi Taluk in Thiruvarur District.
These industrial estates will be developed by
 50

the Tamil Nadu Small Industries Development

Corporation (TANSIDCO), on a total area of
80 acres, at an estimated cost of Rs.32 crore.
This initiative is expected to create direct employment
opportunities for 3,000 people.

104. To facilitate early commencement of business

activities for Micro enterprises, a four-storied
industrial complex, with plug and play facilities,
will be constructed at Kurichi Industrial Estate in
Coimbatore district, over an extent of 1.2 acres,
at a cost of Rs.37 crore by TANSIDCO. This will
generate direct employment opportunities for 1,000
persons and indirect employment for 500 persons.

105. With the objective of fostering innovation and

supporting the growth of technology-based Start-ups,
a state-of-the-art Industrial Innovation Centre,
covering an area of 26,500 sq.ft, will be
constructed in Madurai at an approximate cost of
Rs.24 crore. It will offer a collaborative workspace for
innovators and startups, and will contain industry 4.0
equipment, and facilities for product development,
prototyping, and training.

106. A three-storied industrial complex,

spanning 5 acres of land, will be developed at
Sakkimangalam Industrial Estate in Madurai
 51

district by TANSIDCO at a cost of Rs.118 crore.

This initiative will support Micro, Small, and Medium
entrepreneurs and is expected to create employment
opportunities for 4,500 individuals.

107. Under the Micro Cluster Development

programme, six clusters, with common facilities,
will be set up with Government grant at a total project
cost of Rs.25 crore viz., the Apparel cluster in
Vellayapuram - Virudhunagar, Siddha Medicines Cluster in
Acharapakkam - Chengalpet, Apparel cluster in
Azhagiyapandiyapuram - Kanyakumari, Silk cluster in
Rakipatti - Salem, Yarn cluster in Katheri - Namakkal and
Apparel cluster in Rangiyam - Pudukottai.

108. In order to safeguard the livelihood of

small tea growers of the Nilgiris district, an incentive of
Rs.2 per kg will be provided to the members of
16 co-operative tea factories who supplied green tea
leaves during the last year. An amount of Rs.9 crore will
be allocated for this purpose, benefiting approximately
27,000 small tea growers. In the Budget Estimates,
a sum of Rs.1,557 crore has been allocated for the
Micro, Small and Medium Enterprises Department.
 52

Information Technology

109. This Government has been successfully

implementing end-to-end computerization of Government
offices with the objective of simplifying Government
administrative procedures and ensuring transparency.
In order to expand the e-office project, the Government
will organize skill training for employees, and provide
necessary hardware and software products to heads of
departments and subordinate offices in the coming year.
A sum of Rs.30 crore has been allocated for this purpose
in the Budget Estimates.

110. With a view to increasing the speed of

accessing online Government services, the State Data
Centre will be upgraded with cloud computing
infrastructure and disaster data recovery facility by the
Electronics Corporation of Tamil Nadu Ltd (ELCOT) at a
cost of Rs.200 crore over the next five years.

111. In an effort to ensure widespread information

exchange in the digital world, free Wi-Fi services will be
provided at 1,000 prime locations in all the Municipal
Corporations including Coimbatore, Madurai,
Trichirappalli, Salem, similar to the one being set up in
Chennai.
 53

112. Muthamizh Arignar Kalaignar, the architect of

modern Tamil Nadu, established Tidel Park in Chennai in
the year 2000, laying the foundation for the Information
Technology boom in Tamil Nadu. To ensure that all
regions in Tamil Nadu are linked to the digital highway
initiated by Muthamizh Arignar Kalaignar, new Tidel
Parks are being set up in Madurai at a cost of
Rs.350 crore, covering 6.4 lakh sq. ft., and in Trichy
at a cost of Rs.345 crore covering 6.3 lakh sq.ft.
Additionally, Neo Tidel parks are being established in
Thanjavur, Salem, Vellore, Tiruppur, and Thoothukudi.
These initiatives are expected to generate employment
opportunities for 13,000 people.

113. The Government is carefully analyzing the

recent developments in the field of Artificial Intelligence
(AI) and their implication across various sections of the
Tamil society. Under the guidance of the Hon‟ble
Chief Minister, the „Tamil Nadu Artificial
Intelligence Mission‟ will be established to develop
guidelines for constructively leveraging AI in education,
employment, industry, research and medicine, and to
establish clear protocols for its utilization. This mission
will involve professors from leading educational
institutions in Tamil Nadu, executives from the electronics
industry, and experts in the field.
 54

114. With Coimbatore emerging as one of the

fastest growing cities in the country, there is an
increasing need for office spaces catering to high-end
jobs in sectors such as Information Technology, Life
Science, Aerospace, and Research and Development in
Engineering. Considering these factors, a state-of-the-art
IT Park in two phases will be constructed by ELCOT in
Vilankurichi, covering an area of 20 lakh sq. ft., at an
estimated cost of Rs.1,100 crore.

Water Resources

115. Realizing that water is the elixir of life,

this Government is taking various initiatives to preserve
and protect water resources of the State.

116. In Chennai and surrounding districts that

were significantly affected by Cyclone Michaung,
22 permanent flood prevention and mitigation works are
being undertaken at a cost of Rs.350 crore. In order to
restore the damages caused by the unprecedented
rainfall and consequent flooding in the southern districts,
works for permanent flood control are being undertaken
at a cost of Rs.280 crore.

117. To effectively harvest rainwater and ensure

assured water supply for irrigation purposes, construction
of water recharge structures and maintenance works of
 55

irrigation systems including construction of sub-surface

dykes, renovation of channels and construction of new
anicuts will be taken up in the current year at a cost of
Rs.734 crore. In addition, repair and replacement of old
and damaged shutters in barrages and dams will be
taken up at a cost of Rs.66 crore.

118. The works for first phase of „Extension,

Renovation and Modernization of Grand Anicut Canal
system‟ are being undertaken at an estimated cost of
Rs.1,037 crore for effective water management in
Cauvery Basin, and are nearing completion. Further,
works for the second phase will be undertaken at
an estimated cost of Rs.400 crore in the coming
year, thus benefiting an ayacut of 2.3 lakh acre in
Thanjavur and Pudukottai Districts.

119. The Government has sanctioned the

implementation of „Tamil Nadu Water Resources
Information and Management System‟ (TNWRIMS), at an
estimated cost of Rs.30 crore, for the effective
management of water resources in Tamil Nadu. A web
portal for this system will be launched soon. In the
Budget Estimates, a sum of Rs.8,398 crore has been
allocated for the Water Resources Department.
 56

Green Energy

120. More than double the quantum of existing

electricity demand will be required for transforming
Tamil Nadu into a „Trillion Dollar Economy State by 2030‟,
as envisioned by the Hon'ble Chief Minister of
Tamil Nadu. In this regard, Green energy will play a
crucial role in achieving the ambitious target in the
coming years. The Government will devise plans to
generate an additional 100 billion units of renewable
green energy and transform Tamil Nadu as the leading
State in the country by 2030. A new Green Energy
Company has been established as the first step in this
journey towards a sustainable future. The institution will
implement green hydrogen and pumped storage
hydroelectric power generation projects along with solar
energy, wind energy and other new green initiatives.

121. During the recent Global Investors Meet,

32 MoUs were signed for setting up 18,429 MW of green
energy sources in Tamil Nadu. So far, permission has
been granted for generating 2,570 MW of green energy
power.

122. Further, 12 locations have been identified for

setting up of 11,500 MW pumped storage hydro power
stations in Tamil Nadu. In these locations, new pumped
storage hydro-electric power stations will be established
 57

under public-private partnership with an investment of

approximately Rs.60,000 crore.

Climate Change

123. “சிறகிலிருந்து பிரிந்ெ

இறகு ஒன்று
காற்றின் தீராெ ெக்கங்களில்
ஒரு ெறணையின் ைாழ்ணை
எழுதிச் ச ல்கிறது”

Reading these words of Piramil through the

lens of environment, this Government recognizes its
bounden duty to protect and conserve the nature and
pass it on to the future generations. Tamil Nadu stands
out among all States in the country for its rich
biodiversity. However, due to the vagaries of climate
change, certain endangered species are on the verge of
extinction in the world. The need for conservation of
these species has been stressed upon by many agencies
including International Union for Conservation of Nature.
To address this, the Tamil Nadu Government has decided
to establish „Tamil Nadu Endangered Species
Conservation Fund‟ with a corpus of Rs.50 crore.
The fund will be constituted with Government
contribution of Rs.5 crore in the first phase, along with
contribution from Government entities, donations under
corporate social responsibility, national and international
 58

funds. This Fund will help in formulation of new schemes

for protecting endangered and critically endangered
species.

124. With pioneering initiatives such as the

Tamil Nadu Climate Change Mission, Green Tamil Nadu
Mission, Tamil Nadu Wetland Mission, declaration of
15 new Ramsar wetlands and 5 sanctuaries, Tamil Nadu
stands as a paragon of natural conservation in the
entire nation. Building on this legacy, the „TN-SHORE
(Neithal Meetchi Iyakkam)‟ has been sanctioned
at an estimated cost of Rs.1,675 crore.
The Mission aims to restore coastal resources
across 14 coastal districts of Tamil Nadu covering
a stretch of 1,076 km. Enhancement of coastal
biodiversity, coastal protection, improving livelihoods of
coastal communities and pollution control in coastal areas
are the four major aims of this mission.

125. This initiative will capitalize on the potential

of the Blue Economy and will primarily focus on the
restoration of mangroves, coral reefs, and salt marshes.
Works for conserving mangroves and reviving coral reefs
at Kariyachalli islands in the Gulf of Mannar will be
undertaken. Additionally, works are underway to
establish a sprawling botanical garden in Kadambur,
Chengalpattu, spanning 137 acres, at a cost of
 59

Rs.345 crore, in collaboration with London Kew Gardens.

Sea turtle conservation centres will be established at
Nagapattinam and Chennai, along with an International
Dugong conservation centre at Manora in Thanjavur
District. Further, works will be taken up at a cost of
Rs.40 crore for the rejuvenation of Ennore Creek.

126. The Government is taking significant steps

to develop beaches in Tamil Nadu to international
standards. In the first phase, Blue Flag certification has
been obtained for Kovalam in Chengalpattu district.
Following this, major beaches across the State
including Marina in Chennai, Ariyaman in
Ramanathapuram, Kayalpattinam in Thoothukudi,
Kodavilai in Tirunelveli, Kameswaram in
Nagapattinam, Kattumavadi in Pudukottai, Silver
beach in Cuddalore and Marakkanam in Villupuram
will be developed at an estimated cost of
Rs.250 crore to obtain blue flag certification.
The Government shall take proactive measures to control
plastic pollution by involving youth from coastal
community in plastic waste management, disposal of
abandoned and discarded fishing gears, and implement
circular economy solutions in plastic waste hotspots.
 60

Transport

127. Enhancement of bus fleet is imperative to

continue quality transport services to remote villages in
Tamil Nadu. In the coming year, 3,000 new buses will be
procured, and 500 electric buses will be procured and
brought into operation with the financial assistance of
KfW. The mini bus service introduced in the year 1997 by
Muthamizh Arignar Kalaignar received widespread
recognition across the State. In the coming year, the mini
bus services will be extended to rural areas adjacent to
rapidly growing urban areas, with revamped guidelines.

128. In the Budget Estimates 2024-25, a sum of

Rs.3,050 crore has been provided for free bus travel for
women, Rs.1,521 crore for concessional travel of
students and Rs.1,800 crore for diesel subsidy.

Chennai Metro Rail

129. Chennai Metro rail, which is the preferred

choice of 3 lakh daily commuters, is being expanded in
its second phase to cover 3 routes covering a distance of
119 km. This project is being implemented expeditiously
at a cost of Rs.63,246 crore. The first elevated stretch
from Poonamalle to Kodambakkam will be commissioned
in December 2025. An amount of Rs. 12,000 crore has
 61

been allocated for Chennai Metro Rail Phase-II in the

Budget Estimates 2024-25.

130. The detailed project reports for a Metro Rail

along Avinashi and Sathyamangalam road in Coimbatore,
at a cost of Rs.10,740 crore, and a Metro Rail in Madurai
connecting Thirumangalam and Othakkadai, at a cost of
Rs.11,368 crore, have been sent to the Union
Government for their approval on equity sharing basis.
After the approval of the Union Government is obtained,
these works will be commenced.

131. A detailed project report for extending the

metro rail route from Chennai Airport till Kalaignar
Centenary Bus Terminus in Kilambakkam, at a cost of
Rs.4,625 crore, has been prepared and will be submitted
shortly to the Union Government for approval on equity
sharing basis. In addition to this, detailed project reports
will be prepared for extending the routes from
Koyambedu to Avadi and Poonamalle to Parandur, in the
next phase.

132. Through a Special Purpose Vehicle to be

created by a joint venture between Chennai Metro Rail
Limited and Tamil Nadu Industrial Development
Corporation (TIDCO), a 27-storied iconic building with
heritage design, spanning approximately 10 lakh sq.ft.,
will be constructed opposite Chennai Central Railway
 62

Station at a cost of Rs.688 crore. This new building will

cater to the office space needs of public sector,
commercial enterprises and IT companies.

133. A state-of-the-art integrated multi-modal bus

terminus and office complex, equipped with ultra-modern
amenities, will be developed at a cost of Rs.823 crore
near the current Broadway bus terminus and Kuralagam
building. The Government will provide a sum of Rs.200
crore for the formation of this iconic bus terminus.

134. The bus terminuses and depots at Anna

Nagar (West), Kalaignar Karunandhi Nagar and Mandaveli
will be modernized along with office and commercial
complexes. Detailed project reports will be prepared for
the same.

Adi Dravidar and Tribal Welfare

135. The Annal Ambedkar Business

Champions Scheme that was launched last year
with the objective of promoting entrepreneurs
belonging to SC/ST communities has received
widespread acclaim. Under this scheme,
disbursements of Rs.156 crore as loan and Rs.84 crore as
subsidy, benefiting 755 persons, have been done so far.
Due to the widespread reception received, an additional
allocation of Rs.75 crore has been provided for this
 63

scheme in the current year. Moreover, a sum of

Rs.120 crore will be allocated for this scheme in the
coming year. In addition to this, under the recently
launched „CM Arise‟ scheme, entrepreneurs can avail
loans up to Rs.10 lakh with 35 per cent interest subsidy.
An allocation of Rs.50 crore will be earmarked in the
coming year to implement this programme.

136. In order to create basic infrastructure

amenities and bring about holistic socio-economic
development in Adi Dravidar habitations in urban and
rural areas, the Iyothee Thass Pandithar Habitation
Development Scheme will be implemented at a cost of
Rs.230 crore in the next year. Under this scheme,
120 community halls with facilities for marriage,
indoor sports and training will be constructed at a
cost of Rs.100 crore for the benefit of Adi Dravidar
and Tribal communities.

137. In order to enhance the enrolment of

Adi Dravidar and Tribal communities in higher education
and to provide them with modern accommodation
facilities, five state-of-the-art student hostels are being
constructed in Coimbatore, Madurai, Tiruchirapalli,
Nilgiris and Chennai at a cost of Rs. 150 crore. Following
this, girls‟ hostels for college students in Chennai,
Thanjavur, Dharmapuri and Namakkal districts and boys‟
 64

hostel for college students in Madurai district will be

constructed at a cost of Rs.75 crore this year.
A comprehensive skill development programme tailored
specifically for the students residing in these hostels will
be imparted for their multi-faceted development.

138. In order to upgrade the basic amenities

in tribal habitations and improve their living
standards, a new scheme, „Tholkudi‟, will be
implemented in the next four years at an outlay of
Rs.1,000 crore. Under this scheme, road facilities,
potable water, street lights and permanent houses will be
provided in tribal settlements. Further, dedicated
programmes will be implemented to improve the
livelihood of tribal community as part of this initiative.
In the year, a new scheme will be implemented at a cost
of Rs.5 crore, wherein 1,000 selected tribal youth will be
selected and provided skill training on latest industrial
techniques, with accommodation facilities, through the
Tamil Nadu Skill Development Corporation to facilitate
employment opportunities.

139. For all schools functioning under the

Department of Adi Dravidar and Tribal Welfare, smart
class rooms will be constructed at a cost of Rs.36 crore in
the year 2024-25. Further, high-speed internet facility
will be provided to all schools. In the Budget Estimates,
 65

a sum of Rs.3,706 crore has been allocated for the

Adi Dravidar and Tribal Welfare Department.

Welfare of Backward Classes

140. This Government, which is committed to the

cause of social justice, has been a frontrunner in the
country in implementing various welfare schemes.
Following these ideals, this Government has urged the
Union Government to undertake caste census along with
the national census.

141. At present, 1,353 hostels for Backward,

Most Backward, Denotified Communities and Minorities
are being run by the Government, where food and
accommodation are provided free of cost to students.
Recently, this Government has increased the monthly
feeding charges to Rs.1,400 for school students and to
Rs.1,500 for college students residing in hostels. Over
the past three years, construction works have been taken
up in 12 hostels at a cost of Rs.52 crore. Further,
17 school hostels have been upgraded as college hostels
based on requirements. In the coming year, a sum of
Rs.124 crore for pre-matric a sum of Rs.237 crore for
post-matric scholarship and a sum of Rs.193 crore for
providing free bicycles to students have been allocated.
 66

Minorities Welfare

142. Acceding to the long standing demand of

minority educational institutions, this Government has
issued orders for issuance of their certificates on a
permanent basis. This decision has been well received
among the minority communities. Further, operational
guidelines to overcome the hurdles in obtaining
permission for places of worship and carrying out
renovation works will be issued shortly.

143. A grant of Rs.10 crore will be provided for the

repair and maintenance of mosques and dargahs this
year. Dargahs in several places including Thakkalai in
Kanniyakumari district and Vellore and Pottalpudhur in
Tenkasi will be renovated this year. Similarly, a grant of
Rs.10 crore will be provided for the repair and renovation
of churches in several places including Choolai in
Chennai, Virudachalam in Cuddalore, and Idaikkattur in
Sivagangai this year. In the Budget Estimates 2024-25,
a sum of Rs.1,429 has been allocated for the Backward
Classes, Most Backward Classes and Minorities welfare
Department.

Welfare of Differently Abled Persons

144. It is widely recognized that Muthamizh

Arignar Kalaignar not only coined the term
 67

"மாற்றுத் திறோளிகள்", but was also the driving force behind

several groundbreaking schemes aimed at transforming

lives of differently abled individuals. On similar lines,
under the direct supervision of the Hon‟ble Chief Minister,
the Department for the Welfare of Differently Abled
Persons is taking several pioneering initiatives. The
RIGHTS Project is being implemented at a cost of
Rs.1,763 with financial assistance from the World Bank.
This project is being implemented in 15 districts in the
first phase, with the objective of providing
comprehensive services in their vicinity and generating
suitable employment opportunities for them through
appropriate vocational training. Further, under this
programme, home-care treatment will be provided to the
severely affected differently abled persons with the help
of volunteers and NGOs.

145. A „Centre of Excellence for Persons with

Autism Spectrum Disorder‟ will be established in Chennai
at a cost of Rs.25 crore. This centre will provide
comprehensive services under a single roof which include
special education, physiotherapy, occupational therapy,
speech therapy, vocational training, independent living
skills, caregiver training and guidance to persons with
autism.
 68

Hindu Religious and Charitable Endowments

146. Since the Government assumed office,

temple renovation works and consecration ceremonies
have been completed in 1,290 temples in the last
3 years. Annadanam is being provided throughout the
day in 11 temples including Palani, Thiruvannamalai,
Thiruvarangam and Samayapuram. As a result of the
earnest efforts taken by this Government for
safeguarding lands and properties belonging to temples,
a total of 6,071 acre of land, 25.34 lakh sq.ft. of plots
and 5.04 lakh sq. ft. of buildings worth Rs.5,718 crore
have been retrieved from encroachments.

147. Works have been undertaken to renovate

temple tanks of 143 temples at a cost of Rs.84 crore.
More than 200 rare books have been republished by
the publication division of Hindu Religious and
Charitable Endowments Department. Rope-car facilities
will be established in the temples of Thiruneermalai
in Chengalpattu district and Thirupparankundram in
Madurai district at a cost of Rs.26 crore. Further, a grant
of Rs.100 crore will be provided for renovation of
thousand-year old heritage temples.
 69

Tourism

148. Tourism is a key focus sector in Tamil Nadu‟s

journey towards becoming a one trillion-dollar economy.
The Government will implement comprehensive tourism
destination development programmes in key tourist
destinations including Kanniyakumari, Madurai,
Thanjavur, Dindigul, Coimbatore and Tiruvannamalai.
The programme would include upgradation of
existing attractions, development of new
attractions, comprehensive maintenance plan, and an
institutionalized effort to train local youth for creating
job opportunities. This plan will be implemented
through public-private partnership. Exclusive tourism
development committees for each district chaired by the
District Collector will be formed, co-opting
representatives of all key stakeholders, to promote
tourism in these areas.

Animal Husbandry

149. The Covid pandemic stalled the execution of

the sterilization program resulting in an increase in the
population of stray dogs. The menace caused by this has
come to the attention of the Government. In order to
strengthen animal sterilization project and to ensure
effective operation of animal birth control centres across
Tamil Nadu, an amount of Rs.20 crore will be allocated in
 70

this Budget Estimates. Further, an amount of Rs.11 crore

will be allocated for the Tamil Nadu Animal Welfare Board
in the coming year.

Fisheries and Fishermen Welfare

150. The welfare of fishermen, who have

contributed to making Tamil Nadu the fifth largest
fishing industry in the country, is of paramount
importance to this Government. During the fishermen's
conference presided by the Hon'ble Chief Minister in
Ramanathapuram in August 2023, various welfare
schemes and projects were announced, benefiting
2.77 lakh fishermen, at a total financial implication of
approximately Rs.1,000 crore. The livelihood assistance
during fishing ban period has been increased from
Rs.5,000 to Rs.8,000. The subsidized industrial kerosene
provided to registered country fishing crafts in
Thoothukudi, Tirunelveli, and Kanniyakumari districts has
been increased from 3,400 litres to 3,700 litres. The
quantity of diesel provided at subsidized rate to
mechanized fishing boats and motorized country crafts
has been raised from 18,000 litres to 19,000 litres and
from 4,000 litres to 4,400 litres, respectively.

151. In the coming year, coastal protection and

construction works such as bait arches, fish landing
centres, dredging and artificial reefs at
 71

Kanniyakumari, Nagapattinam, Ramanathapuram,

Thanjavur, Mayiladuthurai, Thiruvarur,
Chengalpattu, Villupuram, Thiruvallur, and
Thoothukudi districts will be taken up at an
estimated cost of Rs.450 crore.

Dairy Development

152. The Government is taking numerous

measures to ensure consistent supply of quality milk to
the public by enhancing the operational efficiency of
AAVIN. Recently, an incentive of Rs.3 per litre has been
introduced, benefiting 3.87 lakh milk producers, without
affecting the interest of consumers. In addition,
modernization initiatives for installing automated
machines equipped with cutting-edge technology in dairy
plants, including those in Tiruchirapalli, Madurai,
and Salem will be undertaken at an estimated cost of
Rs.60 crore. Furthermore, to ensure the highest
standards in milk production, modern equipment will be
provided to Milk Producers‟ Cooperative Societies and
Unions, at an estimated cost of Rs.21 crore.

Handlooms and Textiles

153. In order to improve the quality of textile

products with the help of modern technologies and
to facilitate their market linkages, 10 mini textile
 72

parks will be established by the Government in

various districts including Karur, Erode and
Virudhunagar at a cost of Rs.20 crore. A new policy
to develop the technical textiles applied in fields of
medicine, automobile and defence has been released
recently to give an impetus to exports and create
job opportunities in this sector. The Government
will set up a dedicated „Research and Business
Development Fund for Technical Textiles and Man
Made Fibre‟ with a corpus of Rs.25 crore to provide
grants to research units and private companies for new
product development and research. In addition,
the capital subsidy for major investments under the
existing policy for technical textiles will be increased from
15 per cent to 25 per cent and will be disbursed over a
period of 10 years. This scheme will also be expanded to
cover medium enterprises.

154. Investment in modern technologies in

the spinning sector is imperative to make Tamil Nadu
the leading State in this field. In pursuit of this goal,
the Government will introduce a special scheme for
technological upgradation by providing interest
subvention at 6 per cent, at an estimated cost of
Rs.500 crore, over the next 10 years.
 73

155. An integrated complex, spanning 4 lakh

sq. ft. comprising exhibition halls for display of
handlooms and handicrafts produced in various districts
of Tamil Nadu and various States will be established
in Chennai, at an estimated cost of Rs.227 crore.
The complex will house a Design and Incubation
Centre for handicrafts, open sales hall and
commercial buildings.

156. The new artisans welfare scheme, introduced

by the Union Government, is inconsistent with the
principles of social justice followed by this Government.
As an alternate to this, a more progressive Artisans
Development Scheme is being formulated to provide skill
training and support for modernization to artisans
engaged in diverse arts and craft trades such as tailors,
potters and sculptors. The scheme will include advanced
professional training for persons above the age of 35
years to adapt their skills and expand their profession in
the modern context. Under this scheme, new entrants
seeking to join the handicraft sector will be incentivized
with 25 per cent subsidy linked with credit, and will be
provided skill training and guidance to enhance their
marketing skills. In the Budget Estimates 2024-25,
an allocation of Rs.20 crore has been made for the
implementation of this scheme, benefiting 10,000
persons per annum, from the current year.
 74

Housing

157. A new module integrated in the single

window system will be introduced to facilitate
sanction of building permissions based on
self-certification, without requirement of
completion certificate. Plot sizes up to 2,500 sq.ft.
and built-up area up to 3,500 sq.ft. for the construction
of residential structures having ground or ground
plus one floor will be eligible for instant
registration without the requirements of building
permission.

Public Works

158. The Public Works Department has earned

widespread appreciation for its exquisite design and
timely completion of the construction of Kalaignar
Centenary Library at Madurai, Multi Super Specialty
Hospital in Guindy, Chennai and Kalaignar Centenary
Jallikattu Arena near Alanganallur, Madurai.

159. With a view to transforming Chennai into

a world-class city, a state-of-the-art „Kalaignar
International Convention Centre‟, spanning 3 lakh sq. ft.
will be built in East Coast Road, Muttukadu, Chennai.
This Centre will be equipped with modern amenities to
host international exhibitions and conferences. With a
 75

conference hall accommodating 5,000 persons, an

exhibition hall with capacity of 10,000 persons, meeting
halls, and an art gallery, this convention centre will be an
iconic structure in Singara Chennai.

160. A new Tamil Nadu House „Vaigai‟ will be

constructed at an extent of 3 lakh sq. ft. with traditional
Dravidian architectural design in the capital city of New
Delhi, at a cost of Rs.257 crore, with adequate facilities
to accommodate guests, officials and aspirants of
competitive examinations.

161. The Kalaignar Centenary Jallikattu Arena

recently inaugurated by the Hon'ble Chief Minister of
Tamil Nadu, will have its premises adorned with
attractions showcasing the rich history, culture, and arts
of ancient Tamil civilization, including folk arts,
sculptures, handlooms and handicrafts, and native flora.
This centre will be an embodiment of Tamil culture
attracting domestic and foreign tourists and will be
established at an estimated cost of Rs.20 crore.

162. In the current year, an amount of Rs.50 crore

will be allocated to renovate heritage buildings, and
preserve their antiquity. Accordingly, buildings such as
Muthammal Chathiram at Orathanadu in Thanjavur, the
century-old marriage hall at Thiruvaiyar in Thanjavur,
Directorate office at Chepauk in Chennai, Heritage
 76

Travellers Bungalow of Highways Department at

Kodumudi in Erode, and the heritage dome in the College
of Engineering, Guindy will be renovated.

163. Integrating the architectural traditions of

Tamil Nadu and emerging global trends, a new Design
Policy, „Future of Spaces‟ for structural design of various
Government offices, school and college buildings will be
released shortly. The policy will comprise of guidelines for
incorporating aesthetics, modern technology, green
practices and ergonomics in the design of buildings.

Highways

164. This Government is committed to

continuously improving the quality of road network,
which is critical for economic development of a region.
Under the Chief Minister's Road Development
Programme, road widening projects for 1,262 km length
at an estimated cost of Rs.2,587 crore have been
completed so far, and works to the tune of Rs.4,881 crore
are under implementation.

165. In order to decongest traffic in major cities in

Tamil Nadu, works for the construction of 16 bypass
roads at a cost of Rs.2,824 crore have been undertaken.
Further, to avoid disruption during monsoon season,
construction of 1,113 high-level bridges at a cost of
 77

Rs.2,006 crore have been taken up, out of which

683 have been completed and operationalized. Works for
the construction of remaining 430 high-level bridges are
in progress.

166. In the coming year, construction of an outer

ring road in Sivakasi, ring road in Mannargudi, bypass
road in Dindigul, a high-level bridge connecting Trichy
and Srirangam, widening of Avinasi to Mettupalayam
road into a four-lane road and a bridge across Koraiyar
River in Marangiyur – Enathimangalam road in Villupuram
district will be undertaken, at an estimated cost of
Rs.665 crore, under the Comprehensive Road
Infrastructure Development Programme (CRIDP).

167. The stretch between Thiruvanmiyur and

Uthandi on the East Coast Road, covering a distance of
14.6 km witnesses high levels of traffic congestion.
In view of this, a feasibility study to explore the
possibility of constructing a four-lane elevated corridor
will be undertaken in the coming year.

168. In the Budget Estimates 2024-25, a sum of

Rs.8,365 crore under Comprehensive Road Infrastructure
Development Programme (CRIDP), a sum of Rs.2,267
crore under Chennai Peripheral Ring Road Project and a
sum of Rs.908 crore for Chennai-Kanyakumari Industrial
Corridor Project have been allocated.
 78

169. The Cuddalore port, which has been

inoperative for the past 40 years, has now been
upgraded with additional facilities at a cost of
Rs.150 crore. In addition, tenders have also been invited
to increase the handling capacity of the port to 35 lakh
tonnes of goods per annum. This development is poised
to drive significant economic growth in the central region
of Tamil Nadu.

170. The Government has decided to create

a statutory body to implement iconic world-class road
infrastructure projects in Tamil Nadu, incorporating best
management practices across the world. In this regard,
a bill to establish 'Tamil Nadu State Highways
Authority' will be introduced in the current session.
This move aims to facilitate significant investments in
road infrastructure development through public-private
partnership. In the Budget Estimates, a sum of
Rs.20,043 crore has been allocated for the Highways and
Minor Ports Department.

Welfare of Ex-servicemen

171. The Government is committed to the welfare

of the ex-servicemen who have selflessly defended the
borders of our country and protected the sovereignty
of our nation despite all odds. At present,
the reimbursement of property tax is limited to certain
 79

categories including widows of ex-servicemen and

disabled ex-servicemen who were injured during war.
Rewarding the dedication and selfless service of our
ex-servicemen, the property tax reimbursement scheme
will be expanded to all ex-servicemen. As a result,
more than 1.2 lakh ex-servicemen will be benefitted.

Welfare of Government Employees

172. Over the past three years, 27,858 candidates

have been selected through state-level recruitment
agencies such as the Tamil Nadu Public Service
Commission, Teachers Recruitment Board, Medical
Services Recruitment Board, and Tamil Nadu Uniformed
Services Recruitment Board to fill vacancies in various
departments. Further, 32,709 persons have been
recruited through various Government departments and
local bodies. In total, 60,567 persons have secured
Government employment in the two and a half years
since this Government assumed office. Moreover, the
Government is taking proactive measures to fill up
10,000 posts in the current year.

173. To cater to the growing need for affordable

housing of Government employees, the Government
will construct 95 Type-B and 133 Type-C quarters,
encompassing a total plinth area of 3 lakh sq. ft. in
 80

Todhunter Nagar, Saidapet, Chennai, at a cost of

Rs.147 crore.

174. Under the Tamil Nadu Government

Pensioners‟ Family Security Fund scheme, a sum of
Rs.50,000 is paid to family members in case of death of
pensioners. In 2023-24, 19,134 claims have been settled
to the family members of pensioners to the tune of
Rs.96 crore till 31.01.2024.

Welfare of Sri Lankan Tamils

175. The Government is committed to the welfare

of Sri Lankan Tamils and is taking all necessary measures
to improve their living standards. To this end, the
Government had announced reconstruction of 7,469
houses for Sri Lankan Tamils residing in rehabilitation
camps. In the first phase, construction works have been
taken up for 3,510 houses at a cost of Rs. 176 crore, of
which 1,591 houses have already been completed and
the remaining are nearing completion. The works for the
second phase of construction will commence shortly.

Public Grievances

176. Effective grievance redressal of public

continues to be the top priority of this Government.
Out of 20.31 lakh petitions received under Mudhalvarin
 81

Mugavari so far, 19.69 lakh petitions have been resolved.

Further, continuous feedback on the resolved petitions is
being gathered from petitioners to facilitate necessary
follow-up action.

177. With the aim of delivering services to

people at their doorsteps, a new initiative called
„Makkaludan Mudhalvar‟ has been launched to
redress public grievances in under 30 days
pertaining to 13 key departments with high public
interface. Under this scheme, 3.5 lakh petitions have
been resolved so far.

178. Following this, a new scheme called

„Ungalai Thedi Ungal Ooril‟ has been launched
recently. Under this scheme, District Collectors will set
up camp in one Taluk for one day every month, conduct
field visits, inspect Government Offices, and directly
interact with the public to understand their needs and
grievances, thereby ensuring that welfare schemes
and services reach the common man without
hurdles. Thus, this Government will continue to make
efforts to ensure that the entire official machinery
reaches out to the people in remote villages to deliver
services expeditiously.
 82

Special Programme Implementation

179. In order to ensure timely and

hassle-free delivery of services and benefits to
the people, our Hon‟ble Chief Minister conducts
periodical reviews and inspections on the status
of implementation of various Government Schemes
through the Special Programme Implementation
Department. Under the novel initiative, „Kala Aayvil
Muthalamaichar‟, the Hon‟ble Chief Minister has
personally visited 24 districts in 6 zones to conduct
review meetings and inspections. Mega infrastructure
projects, which will transform the socio-economic
landscape of Tamil Nadu, are being reviewed critically by
the Hon‟ble Chief Minister under the Iconic Projects
initiative.

Law and Order

180. Over the past three years, Tamil Nadu has

remained a haven of peace due to the Government's
unwavering commitment to maintaining law and order
and preserving communal harmony. A special focus has
been placed on ensuring the safety and protection of
women and children through coordinated police
operations. As a result, the cities in Tamil Nadu top the
list of cities safe for women in the country. Moreover, this
Government is implementing stringent measures to curb
 83

drug use and prevent illegal trafficking of substances.

To enhance safety and security of citizens and protect
assets, a new mobile application named „Smart Kavalar'
has been introduced. In the past two years, 46 new
police stations including 39 all-women police stations
have been inaugurated.

181. The Crime and Criminal Tracking Network and

Systems Project (CCTNS) being implemented under the
scheme for Modernization of Police Force, across 1,551
Police Stations and 372 Special units in the State, will be
restructured and implemented as CCTNS 2.0, a web
based system with facilities for online registration of
complaints by public and sharing of information across
departments, over the next five years, at a cost of
Rs.124 crore.

182. In an effort to strengthen and modernised

the Fire and Rescue Services department, several
initiatives have been taken by the Government, at an
estimated cost of Rs.373 crore, in line with the funding
assistance of 15th Finance Commission. Further,
the Government has sanctioned the procurement of
vehicles and rescue equipment at an estimated cost of
Rs.137 crore. As part of the scheme for Modernization of
Prisons, a state-of-the-art high-security prison will be
constructed at Tiruverumbur in Tiruchirappalli district,
 84

at an estimated cost of Rs.104 crore. A comprehensive

plan will be implemented for modernization of the
Forensic Sciences department including purchase of new
equipment and computers, at a cost of Rs.26 crore, in
the coming year.

Commercial Taxes

183. The Government of Tamil Nadu has

introduced the SAMADHAN Scheme aimed at simplifying
the process involved in recovery of tax arrears from
traders in the State. Under this scheme, long-pending
arrears of small traders including taxes, penalties, and
interest payments upto Rs.50,000 have been waived to
the tune of Rs.143 crore.

184. With the objective of increasing revenue

realization by the Commercial Tax Department,
a Memorandum of Understanding (MoU) has been signed
with IIT Hyderabad to identify and combat tax evasion.
This collaboration aims to enhance the operational
efficiency of the department through implementation of
Big Data Analytics solution. Further, a Data Analytics Unit
will be established to augment GST revenue and prevent
evasion. This unit will be established to facilitate
real-time analysis and monitoring supported by technical
experts and big data monitoring software at an estimated
cost of Rs.4 crore.
 85

185. To augment digitization of the Registration

Department and modernize registration services, a new
scheme under STAR 3.0 is being implemented at an
estimated cost of Rs. 320 crore to leverage advanced
technologies such as Big Data Analysis, Artificial
Intelligence and Machine Learning. With an objective of
providing modern offices, 71 century-old dilapidated
buildings have been identified for re-construction in the
first phase. The works are being implemented at a cost of
Rs.133 crore.

Disaster Management

186. The Government has accorded sanction for

procurement of 1,400 new automatic rain gauges and
100 new automatic weather stations for analyzing
real-time rainfall and meteorological data at a
cost of Rs.32 crore. Additionally, a Memorandum of
Understanding (MoU) has been signed with the Space
Application Centre (SAC) to acquire weather forecasts
and avail their high-speed super computing services.

187. In order to monitor natural calamities such

as floods, cyclones and earthquakes, and develop
situation-based functional strategies based on risk
assessment, a Technical Cell will be established.
Furthermore, orders have been issued to set up two
C-Band Doppler Radars at Ramanathapuram and Yercaud
 86

at a cost of Rs.56 crore to enhance the weather

forecasting system.

Financial Management

188. The size of the credit economy stands at

three times the size of the budget in the State. Thus,
a robust and diverse credit economy is crucial for
development of the State. Recognizing this well, this
Government in an unprecedented move will fix the
priority sector lending target at Rs.8 lakh crore for the
banks in Financial Year 2024-25, with an increase of
14 per cent over the last year.

189. Optimal cash and debt management are the

hallmark of prudent fiscal management. In the past,
as scheme savings had been lying unutilized in several
thousand bank accounts of the implementing agencies,
the Government had been raising debt to meet its
current liabilities. This Government has constituted a
Special Task Force to mop up scheme savings and
unutilized Government funds lying in bank accounts in
order to address this issue.

190. To avoid such inefficiencies in fund

management, this Government has leveraged technology
to ensure a just-in-time release of funds to the
implementing agencies such that cash does not lie idle in
 87

bank accounts. The „Tamil Nadu Public Fund Tracking

System‟, has been implemented for 36 major schemes in
13 departments to track the flow of funds till it reaches
the end beneficiary. These efforts will ensure that funds
are released as per the pace of implementation of
projects such that Government borrowing is restricted to
the necessary levels, thus saving substantially on the
interest payments.

191. This Government has brought a major reform

through the e-procurement portal, which has been made
mandatory with effect from 01.04.2023. I am glad to
inform that so far 1.3 lakh procurement contracts have
been floated through this portal. To further strengthen
this, the Government will introduce the electronic bank
guarantee system in the e-procurement portal.
In furtherance of these initiatives, electronic registration
of contractors of all departments through e-sevai centres
will commence from 01.07.2024.
 88

PART- B

Finances of the State Government

Hon‟ble Speaker Sir,

192. I have highlighted the major reforms and

initiatives of this Government thus far. I shall now
elaborate on the fiscal position.

193. The inordinate delay by the Union

Government in approving the Chennai Metro Rail Project
has forced the State to incur the entire project
expenditure so far from its budgetary resources, resulting
in an expenditure of Rs.9,000 crore in the current year.
Further, the termination of GST compensation regime
since 30.06.2022 has caused a revenue shortfall of
approximately Rs.20,000 crore per annum. Under these
challenging circumstances, the Budget for the year
2023-24 had been presented in March last year.

194. During the current year, this situation has

been aggravated by the onslaught of twin disasters,
which have caused a severe strain on the state finances.
While unanticipated expenditure to provide necessary
cash relief assistance and to undertake temporary and
permanent restoration works has been incurred, there
has also been a significant dip in the revenue collections.
 89

Despite multiple requests, the Union Government has not

provided any support to the State from National Disaster
Response Fund.

195. On the contrary, even amidst these

challenges, the Union Government continues to stifle our
state by exercising arbitrary and discriminatory control
over our finances. The imposition of stringent conditions
on the borrowing ceiling by the Union Government has
unduly restricted the ability of the State to raise
resources to fund its development initiatives.

196. As a result of one such condition,

the Government of Tamil Nadu has been mandated to
provide Rs.17,117 crore for loss funding to TANGEDCO in
the current year, failing which an equivalent amount will
be deducted from the borrowing ceiling fixed by
the Union Government. Moreover, an amount of
Rs.14,442 crore has to be provided for loss funding in the
next year. While the Government is committed to
undertake power sector reforms, this condition creates a
huge financial burden on the State, constraining its
ability to fund development initiatives. Therefore, on lines
of the Ujwal Discom Assurance Yojana (UDAY) Scheme,
this Government has addressed the Union Government to
exclude this amount from the Fiscal Deficit and Borrowing
Ceiling of the State.
 90

197. In these circumstances, the total revenue

expenditure is estimated to be Rs.3,17,484 crore in
the Revised Estimates 2023-24 as compared to
Rs.3,08,056 crore in Budget Estimates. Despite the
increase in revenue expenditure on account of loss
funding to TANGEDCO to the tune of Rs.15,594 crore
and disaster relief and restoration to the tune of
Rs.2,041 crore, the increase has been contained to
Rs.9,428 crore through prudent fiscal management.

198. On the receipts front, the collections

from State‟s Own Tax Revenue are estimated at
Rs.1,70,147 crore in the Revised Estimates 2023-24
as against Rs.1,81,182 crore in the Budget Estimates.
This reflects a reduction from the anticipated growth
levels of 20.61 per cent in Budget Estimates to
13.26 per cent in the Revised Estimates, owing to the
severe impact caused by natural calamities.

199. The State‟s Non-Tax Revenue is estimated to

be Rs.30,381 crore in the Revised Estimates 2023-24,
which is a substantial increase over the Budget
Estimates. This is a result of the revenue augmentation
measures taken by this Government including
rationalization of rates and improvement in collection
efficiency.
 91

200. The Transfers from the Union Government

include Grants-in-aid and Share in Central taxes. The
Grants-in-aid have been estimated at Rs.26,996 crore in
Revised Estimates 2023-24, which is marginally lower
than the Budget Estimates. The Share in Central Taxes
has increased to Rs.45,053 crore in Revised Estimates
2023-24, as compared to Rs.41,665 crore in Budget
Estimates. The increase in the Revised Estimates is
due to an increase in tax collections estimated by the
Union Government.

201. In aggregate, the Revenue Deficit in

Revised Estimates 2023-24 is estimated to increase to
Rs.44,907 crore compared to Rs.37,540 crore in Budget
Estimates. Excluding loss funding to TANGEDCO,
the revenue deficit is estimated to be Rs.27,790 crore
in Revised Estimates 2023-24, as compared to
Rs.36,017 crore in the Budget Estimates. This has been
achieved through prudent fiscal management despite the
adverse impact caused by the disasters on revenues and
expenditure.

202. The Capital Expenditure in the Revised

Estimates 2023-24 is projected at Rs.42,532 crore as
against Rs.44,366 crore in the Budget Estimates. Further,
the Net Loans and Advances are estimated to be
Rs.6,624 crore in the Revised Estimates as compared to
 92

Rs.10,169 crore in the Budget Estimates. This is due to

the reduction in the pace of implementation of projects,
as a result of the two calamities.

203. The Fiscal Deficit in Revised Estimates

2023-24 is estimated to marginally increase to
Rs.94,060 crore as against Rs.92,075 crore in Budget
Estimates. The Fiscal Deficit as a percentage of GSDP has
increased from 3.25 per cent in Budget Estimates to
3.45 per cent in the Revised Estimates 2023-24, owing to
a downward revision in the GSDP estimates.

204. I shall now elaborate on the Budget

Estimates 2024-25.

205. Taking into account the State‟s economic

growth, revision of taxes and improvement in collection
efficiency, the State‟s Own Tax Revenue has been
estimated at Rs.1,95,173 crore in the Budget Estimates
2024-25, which is a growth of 14.71 per cent over
the Revised Estimates 2023-24. This includes an amount
of Rs.1,43,381 crore from Commercial Taxes,
Rs.23,370 crore from Stamps and Registration,
Rs.12,247 crore from State Excise and Rs.11,560 crore
from Motor Vehicle Taxes. In anticipation of sustained
levels of collection from the State‟s Own Non-Tax
Revenue, an amount of Rs.30,728 crore has been
estimated in the Budget Estimates 2024-25.
 93

206. As the GST compensation dues will

completely end from the coming year, there is a
reduction in Grants-in-Aid in the Budget Estimates
2024-25, as compared to the Revised Estimates 2023-24.
The Grants-in-Aid are estimated to be Rs.23,354 crore.
Based on the allocation made in the Union Budget
2024-25, the estimates fixed for Share in Central Taxes
for the year 2024-25 are Rs.49,755 crore.

207. In the Budget Estimates 2024-25, the total

revenue expenditure is estimated at Rs.3,48,289 crore.
Beside the standard increase in committed expenditure
in salaries, pensions and interest payments, the
allocation for Subsidies and Transfers has been fixed at
Rs.1,46,908 crore. This increase is primarily owing to an
additional expenditure of Rs.5,696 crore under the
Kalaignar Magalir Urimai Thogai Thittam over the
previous year, to provide for its first full year of
implementation.

208. In aggregate, the Revenue deficit is

estimated at Rs.49,279 crore in Budget Estimates
2024-25. This includes an amount of Rs.14,442 crore for
loss funding to TANGEDCO. Excluding this amount,
the Revenue Deficit is estimated to be Rs.34,837 crore in
the coming year. It is notable that this is lesser than
 94

the revenue deficit excluding loss funding to TANGEDCO

as compared to the Budget Estimates 2023-24.

209. In Budget Estimates 2024-25, the Capital

Expenditure is estimated at Rs.47,681 crore, which is a
growth of 12.11 per cent over the Revised Estimates
2023-24. The Net Loans and Advances are estimated at
Rs.11,733 crore, owing to an increase in expenditure for
Chennai Metro Rail project from Rs.9,000 crore to
Rs.12,000 crore. This Government is investing heavily in
infrastructure projects and is committed to increasing
Capital expenditure in the State.

210. In total, the Fiscal Deficit is estimated at

Rs.1,08,690 crore in the Budget Estimates 2024-25,
which is 3.44 per cent of the GSDP. In line with the
recommendations of the 15th Finance Commission,
the Government is following the glide path of fiscal
consolidation and has reduced it from 3.46 per cent
in 2022-23 to 3.45 per cent in 2023-24 to
3.44 per cent in 2024-25. This has been achieved
despite the impact of disasters and after an
unprecedented allocation to TANGEDCO from within
the budgetary resources. This Budget underscores
the commitment of this Government to deliver on
the promises made to the people, without wavering
 95

from the path of prudent fiscal management,

in spite of numerous challenges.

211. The 16th Finance Commission has been

constituted by the Union Government recently. Under the
able leadership of Dr. Arvind Panagariya, we hope that
the historical injustice meted out to progressive states
like Tamil Nadu by successive Commissions in the
devolution of Union taxes will be remedied. We look
forward to a fair mechanism wherein Tamil Nadu will
receive its due share commensurate its role in nation
building, without being penalized for its development.

Hon‟ble Speaker sir,

212. After our country gained independence,

different States charted their own paths to development.
However, it is Tamil Nadu‟s achievements in social
progress and economic growth that have received
widespread recognition from globally renowned
economists and international institutions alike. I wish to
place on record the remarks of Nobel Laureate and
noted economist Amartya Sen on the growth of
Tamil Nadu.

“Tamil Nadu is one of the states which had

achieved rapid progress within a relatively
short period despite it starting from
 96

appalling levels of poverty, deprivation and

inequality. Tamil Nadu initiated bold social
programmes and has some of the best public
services among all Indian States and many
of them are accessible to all on a
non-discriminatory basis. Tamil Nadu has
one of the highest per capita income and
lowest poverty rates among all Indian
States. This is an important example of the
complementarity between economic growth
and public support.”

213. In the last 75 years, few states in the country

have achieved progress only on the economic front while
others have made strides only on the social front. Tamil
Nadu however, has sculpted a unique path by achieving
high levels of growth in all aspects including social
advancement and industrial development. To state
specifically,

 First in the country in Export Preparedness

Index

 First in the country in manufacturing and

exports of electronics and automobiles

 Leading State in creating a conducive

ecosystem for Start-ups
 97

 State with the highest contribution to the

number of women working in industries in
country

 First in the country in Gross Enrolment in

Higher Education

 State with the most number of high quality

educational institutions (146) in NIRF

214. The globally acclaimed growth story of

Tamil Nadu has been scripted by the tireless efforts of its
leaders, who not only adorn this assembly from their
portraits, but also guide us continuously by shaping our
thoughts and ideals. In the same way, working under the
leadership of our Hon‟ble Chief Minister is an honour for
all of us.

“காைல் குழவி சகாள்ெைரின் ஓம்புமதி

அளினொ ொனே; அது செறல் ைருங் குணரத்னெ”

(புறம்- 5)

A poem from the Purananuru beautifully describes

that a leader should take care of his people like a
mother takes care of her child. Similarly, under the
care and protection of our Hon‟ble Chief Minister who is
committed to delivering good governance, the people of
Tamil Nadu are marching on the path of success with
their head held high.
 98

215. I wish to convey my gratitude and

appreciation to Thiru. T. Udhayachandran, IAS, Principal
Secretary, Finance Department and all officials of the
Finance Department who have worked tirelessly for the
preparation of this Budget.

216. I once again sincerely thank the Hon‟ble

Chief Minister who has been instrumental in preparing
this Budget by providing invaluable guidance and
unwavering support.

217. Hon‟ble Speaker Sir, I commend the Budget

Estimates for the year 2024-25 for the approval of this
August House.

ைாழ்க ெமிழ்!

சைல்க ெமிழ்ைாடு!

Thiru. Thangam Thenarasu

Minister for Finance and Human
Resources Management

Chennai,
19th February 2024,
Masi-7
Thiruvalluvar Aandu 2055
 99

APPENDIX

MEDIUM TERM FISCAL PLAN

The State Government is required to place a

Medium Term Fiscal Plan (MTFP) before the Legislative
Assembly along with the Budget in accordance with
Section 3(1) of the Tamil Nadu Fiscal Responsibility Act,
2003 (TNFRA). As per Section 3(2) of the said Act, the
MTFP shall set forth a multi-year rolling target for the
prescribed fiscal indicators like Revenue Deficit, Fiscal
Deficit and Debt to GSDP ratio, specifying the underlying
assumptions made to arrive at those projections.
Complying with the said provisions under the Tamil Nadu
Fiscal Responsibility Act, 2003, a Medium-Term Fiscal
Plan for the period from 2024-25 to 2026-27 is hereby
placed before the Legislative Assembly.

Objectives

This MTFP outlines the fiscal roadmap, aimed at

fiscal consolidation and debt sustainability, which will be
achieved by adherence to the following fiscal norms
outlined by the Fifteenth Finance Commission:

● Fiscal Deficit to Gross State Domestic Product

(GSDP) within 3 per cent from 2023-24 onwards.
An additional borrowing of 0.5 per cent of GSDP for
a period of four years from 2021-22 to 2024-25 on
fulfilment of Power Sector Reforms.
 100

● Outstanding Debt to GSDP within 28.9 per cent in

2024-25 and 28.7 per cent in 2025-26.

Economic scenario

As per the latest estimates released by Ministry of

Statistics and Programme Implementation, Tamil Nadu
has grown at 8.19 per cent in 2022-23 in real terms,
as compared to the growth of 7.24 per cent at the
national level.

In the year 2023-24, the Indian Economy has been

pegged to grow at 7.3 per cent in constant terms.
Accounting for inflation, this translates to a nominal
growth of around 13.5 per cent in nominal terms at the
national level. Considering Tamil Nadu has been an
engine of growth for the country, the nominal GSDP
growth rate is pegged at 15.14 per cent for the year
2023-24.

For the year 2024-25, taking into account the

proactive measures taken by the Government to attract
investment, generate employment and carry out policy
initiatives for comprehensive and sustainable growth,
it is projected that the nominal GSDP growth of the
State will be at the level of 15.89 per cent. In the
subsequent years, the nominal GSDP growth is estimated
at 16 per cent per annum.
 101

I. Revenue Receipts

The Total Revenue Receipts of the State

Government, including the Central Transfers, are
estimated to be Rs.2,99,009.98 crore in Budget
Estimates 2024-25 as against the Revised Estimates of
Rs.2,72,576.80 crore in 2023-24. The estimates for
2025-26 is estimated to be Rs.3,41,851.96 crore and
Rs.3,94,972.15 crore in 2026-27 which indicates a
growth of 14.33 per cent and 15.54 per cent
respectively. The important components are discussed
below:

1. State‟s Own Tax Revenue

The State‟s Own Tax Revenue (SOTR) is estimated

to be Rs.1,70,147.24 crore in the Revised Estimates
2023-24. It is estimated to increase to Rs.1,95,172.99
crore in the Budget Estimates 2024-25. The SOTR
is estimated to be Rs.2,26,400.67 crore in 2025-26
and Rs.2,67,152.79 crore in 2026-27. The growth rates
of State‟s Own Tax Revenue are estimated to be
16 per cent in 2025-26 and 18 per cent in 2026-27
based on present trends in tax collection and economic
outlook.
 102

2. Non-Tax Revenue

The State‟s Own Non-Tax Revenue has been

estimated at Rs.30,727.82 crore in the Budget Estimates
for 2024-25. This shows an increase of 1.14 per cent
compared to Revised Estimates 2023-24 as a result of
various resource augmentation measures and
improvement in collection efficiency being undertaken by
the Government. The Non-Tax Revenue is estimated at
Rs.32,264.21 crore in 2025-26 and Rs.33,554.78 crore in
2026-27.

3. Share in Central Taxes

Tamil Nadu‟s share in Central Taxes is estimated at

Rs.49,754.95 crore in Budget Estimates 2024-25 as
against Rs. 45,052.52 crore in the Revised Estimates
2023-24. This is based on the estimates in the Union
Budget 2024-25. The share of the Central Taxes is
estimated to be Rs.57,964.52 crore in 2025-26 and
Rs.67,528.66 crore in 2026-27 by assuming a growth
rate of 16.50 percent in 2025-26 and 16.50 per cent in
2026-27.

4. Grants-in-Aid from the Union Government

The Grants-in-Aid from the Union Government

have been estimated at Rs.23,354.22 crore in the
Budget Estimates 2024-25. For 2025-26 and 2026-27,
 103

Grants-in-Aid are projected at Rs.25,222.56 crore and

Rs.26,735.91 crore respectively.

II. Revenue Expenditure

The Revenue expenditure is estimated at

Rs.3,48,288.72 crore in Budget Estimates 2024-25,
which shows an increase of 9.70 per cent over Revised
Estimates 2023-24. The Revenue expenditure is
estimated to be Rs.3,59,949.99 crore in 2025-26 and
Rs.3,89,005.49 crore in 2026-27.

The important components are discussed below:

 The expenditure on account of Salaries is a

committed expenditure and has been estimated
to be Rs.84,931.60 crore in the Budget
Estimates 2024-25. This shows an increase of
12.42 per cent over the Revised Estimates
2023-24. The expenditure under Salaries is
expected to be Rs.91,726.13 crore in 2025-26
and Rs.99,064.22 crore in 2026-27 based on
hike in Dearness allowance and anticipated new
recruitments.

 The Non-wage Operations and Maintenance is

estimated to be Rs.15,013.46 crore in the
Budget Estimates 2024-25. This expenditure has
been estimated at Rs.15,614.00 crore in
2025-26 and Rs.16,238.56 crore in 2026-27.
 104

 The expenditure on account of committed

expenditure on Pensions and Retirement
benefits is estimated to be Rs.37,663.56 crore in
Budget Estimates 2024-25. Considering the
trends in retirement, the expenditure under
Pension and Retirement benefits is estimated
at Rs.41,429.91 crore in 2025-26 and
Rs.45,572.91 in 2026-27.

 The expenditure on account of Subsidies and

Transfers is estimated to be Rs.1,46,908.19
crore in the Budget Estimates 2024-25.
The expenditure under Subsidies and Transfers
is estimated at Rs.1,40,253.60 crore in 2025-26
and Rs.1,51,473.88 crore in 2026-27. This takes
into account the expenditure for Magalir Urimai
Thogai, reduction anticipated in loss funding to
TANGEDCO, and increased transport subsidies,
among others.

 The interest payments for public debt raised in

the previous years are a committed liability of
the Government and continue to increase every
year. The expenditure on account of interest
payments is estimated at Rs.63,722.24 crore in
the Budget Estimates 2024-25. This expenditure
has been projected at Rs.70,876.73 crore in
2025-26 and Rs.76,598.91 crore in 2026-27.
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III. Capital Account

In the Budget Estimates 2024-25, an amount of

Rs.47,681.30 crore has been provided as Capital
Expenditure as against Rs.42,531.68 crore in the
Revised Estimates 2023-24. This shows an increase of
12.11 per cent. The capital expenditure is estimated to
be Rs.66,753.83 crore in 2025-26 and Rs.96,793.05
crore in 2026-27. This takes into account the increased
capital spending due to sanctions of Combined Water
Supply Schemes under Jal Jeevan Mission and Metro rail
projects. This shows the commitment of the State to
constantly improve the allocation for growth-oriented
expenditure while maintaining fiscal discipline. The net
loans and advances are estimated at Rs.11,733.25 crore
in Budget Estimate 2024-25. This is estimated to
increase to Rs.23,466.50 crore in 2025-26 and to
Rs.32,853.09 crore in 2026-27.

IV. Revenue Deficit and Fiscal Deficit

The Revenue Deficit in the Budget Estimates

for 2024-25 is estimated at Rs.49,278.73 crore.
In view of the revenue augmentation measures
including improvement in collection efficiencies and rate
rationalization, the Revenue Deficit is expected to reduce
to Rs.18,098.03 crore in 2025-26 and subsequently lead
to a surplus of Rs.5,966.67 crore in 2026-27.
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This will create additional space for capital expenditure in

the State.

The Fifteenth Finance Commission has permitted

the States to maintain the ratio of Fiscal Deficit to GSDP
as 3.0 per cent in 2024-25. In addition, it has provided
an additional space of 0.5 per cent of GSDP during
2021-22 to 2024-25 on fulfilment of required power
sector reforms. In the Budget Estimates for 2024-25, the
Fiscal Deficit is estimated at 3.44 per cent of GSDP.
In the forthcoming years, Fiscal Deficit to GSDP ratio is
estimated to be 2.96 per cent in 2025-26 and 2.90 per
cent in 2026-27, which are within the norms prescribed
by the Fifteenth Finance Commission.

V. Borrowings

The estimates for receipt and repayment of

borrowings have been finalized on the basis of overall
borrowing ceiling fixed by the Government of India. The
Government plans to borrow a total amount of
Rs.1,55,584.48 crore during 2024-25 and make
repayment of Rs.49,638.82 crore. As a result, the
outstanding debt as on 31st March 2025 will be
Rs.8,33,361.80 crore. This constitutes 26.41 per cent of
GSDP in 2024-25. The Outstanding Debt as a percentage
of GSDP is expected to be 25.75 per cent in 2025-26 and
25 per cent in 2026-27, which are well within the norms
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prescribed by the Fifteenth Finance Commission.

Therefore, the State aims to maintain debt sustainability
as part of its fiscal consolidation roadmap.

VI. Guarantees

The outstanding guarantees for each year have to

be restricted at a level of 100 per cent of the Total
Revenue Receipts in the preceding year or 10 per cent of
the GSDP, whichever is lower. The outstanding
guarantees as on 31st March, 2023 were 43.72 per cent
of Total Revenue Receipts in the preceding year and
3.84 per cent of GSDP.

The outstanding risk weighted guarantees for each

year have to be kept at a level of 75 per cent of the
Total Revenue Receipts of the preceding year or 7.5 per
cent of GSDP, whichever is lower. The outstanding risk
weighted guarantees as on 31st March, 2023 stood at
15.57 per cent of Total Revenue Receipts of the
preceding year and 1.37 per cent of GSDP.

Conclusion

In the current economic scenario, Tamil Nadu‟s

growth is higher than that of the national GDP, which is a
positive sign. This growth advantage is expected to
continue in the coming year. Through steps such as
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resource augmentation and improvement in revenue

collection efficiency, the State will attempt to maintain a
healthy growth in Revenue Receipts. With fiscal
consolidation as the fundamental principle, the State will
continue to adhere to TNFRA norms and eliminate its
revenue deficit in the coming years, thereby enabling
increasing investment and expenditure in growth and
welfare-oriented areas.

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