Stay updated with the latest - Click here to follow us on Instagram
© The Indian Express Pvt Ltd
Journalism of Courage
Premium
After Centre allots Rs 3,920 to HP under SASCI scheme, Sukhu says ‘need untied grants not tied’
Sukhu was replying to the Opposition leaders, who said in the House that the Centre has provided huge financial assistance to the state government, which is reeling under the financial strain ever since the discontinuation of the Revenue Deficit Grant (RDG).
Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu. (File Photo)
Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu Tuesday advocated for the untied grant for the state, maintaining that Rs 3,920 crore allotted to the state under Special Assistance to States for Capital Investment (SASCI) scheme are tied funds, which are interest free loans to be paid to the Centre within a period of 50 years.
Sukhu was replying to the Opposition leaders, who said in the House that the Centre has provided huge financial assistance to the state government, which is reeling under the financial strain ever since the discontinuation of the Revenue Deficit Grant (RDG).
“I would like to make it clear that every state needs untied grants. Untied grants can be utilised in any government work, schemes and even for salaries, pensions etc. Under tied grants, allotted money only gets utilised for the purpose for which the money was allotted,” Sukhu said.
When Leader of Opposition (LoP) Jai Ram Thakur asked why the state government did not thank the central government for the SASCI allotment, Sukhu said, “We have no problem in thanking the central government but it should continue our RDG. The Opposition should go along with us to the central government demanding the continuation of the RDG,” the CM responded.
Untied grants are the flexible funds provided by the Centre to the state government, which can utilise these untied grants as per their valid requirements.
Meanwhile, Himachal Governor Kavinder Gupta welcomed the SASCI grant for the hill state and thanked Prime Minister Narendra Modi for this “important and forward-looking decision”. He said that it clearly shows the Centre’s strong commitment to the development of hill states.
The central government has created a special fund of Rs 25,000 crore for the development of nine hill states under the 16th Finance Commission framework. Out of this total amount, Himachal Pradesh has been allocated Rs 3,920 crore, making it the second-highest recipient among all hill states. The Governor said that this financial support would give a strong boost to the state’s development. He explained that sectors like roads, healthcare, education and other important infrastructure will now improve faster with this assistance.
Story continues below this ad
The Governor said that this special financial package was very important for Himachal Pradesh as the state has been facing financial stress and limited resources. He expressed confidence that the funds would be used properly, honestly and for the overall development, and well-being of all sections of society.
Advertisement
Loading Recommendations...
Live Blog