The Budget session of the Tamil Nadu Assembly will resume on June 14. The economic and political situation in the state indicates this could be a tumultuous session for the ruling party.

According to an official press release, the Governor Vidyasagar Rao has summoned the Tamil Nadu Legislative Assembly on June 14.

The Tamil Nadu Budget was presented on March 14 by the Finance Minister D Jayakumar and the session concluded after his reply to the debate on the budget. The coming session will see the demand for grants being moved for individual departments and the tabling of the GST Bill among other initiatives.

For the AIADMK government, the session is being convened under a challenging economic and political environment.

Riding on debt Mounting debt, increasing expenditure and dropping revenues are among the challenges faced by the government. As of March 31, Tamil Nadu’s debt is estimated at ₹ 2.72 lakh crore, including electricity utility, Tangedco’s debt. By March 2018, the State’s debt will be ₹3.14 lakh crore.

Jayakumar had acknowledged in his reply that the State is facing the challenge of falling income due to the overall slow economic conditions for more than three years. Revenue deficit will have to be “tolerated till economic growth picks up,” he said.

Also, the recent face-off between the private sector dairy industry and the government, following Dairy Development Minister Rajenthra Bhalaji’s statement that private sector milk is adulterated and poses a huge health concern is expected to figure prominently.

On the political front, for the ruling AIADMK party, the leadership issue and a resolution of the split within the party continue to elude a solution.

With the faction led by O Panneerselvam, former chief minister, sticking to its demand for the ouster of the AIADMK General Secretary VK Sasikala, who has been jailed in the disproportionate assets case, and her nephew and Deputy General Secretary TTV Dhinakaran, the split is unlikely to heal for now.

Following a meeting with 20 members of the Cabinet, the Finance Minister, Jayakumar, today told media persons that the government is dissociated fully from Sasikala and Dhinakaran.

However, Dhinakaran, who is out on bail in a case relating to allegations of attempting to bribe Election Commission officials, has said the Ministers do not have the power to act against him or the general secretary.

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