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Capt urges all CMs to pursue with Centre his proposed bailout strategy

Amarinder wrote that states are reeling under the impact of shrinking revenues and heightened requirements of welfare and healthcare due to the COVID-19 pandemic.

By: Express News Service | Chandigarh | Published: April 24, 2020 1:18:00 am
Deserted view of Plaza in Sector 17 during lockdown.

FOLLOWING UP on his letter to Prime Minister Narendra Modi suggesting a three-pronged strategy to bail out states from the Covid crisis, Punjab Chief Minister Capt Amarinder Singh has now urged his counterparts in all the states to pursue the matter with the Centre.

Amarinder has written to chief ministers of all states to also write to the PM, urging him to consider the suggestions he had made to combat the crisis.

Amarinder wrote that states are reeling under the impact of shrinking revenues and heightened requirements of welfare and healthcare due to the COVID-19 pandemic.

In this context, he underlined the urgent need to request the Centre to give a special three-month Covid revenue grant with flexibility to states in spending as per local conditions. He has also urged the states to seek review by the Finance Commission of its recommendations for the current year since the ground situation had completely changed due to the pandemic.

Furthermore, the CM urged his counterparts to seek deferment of the full report of the Finance Commission by a year, so that the requirements of the states for economic revival and relief as well as rehabilitation could be fully assessed post the pandemic, and adequately provided by the Commission.

The Finance Commission’s five-year report should begin from April 1, 2021, instead of 2020, after factoring in the Covid impact, Amarinder has suggested.

The commission is to give recommendations for devolution of taxes and other matters for the next five financial years starting from April 2020.

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