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This is an archive article published on August 17, 2005

Bihar’s problem not money: Chidambaram

Finance Minister P Chidambaram today said Bihar’s backwardness was not due to lack of funds but “lack of good governance”.Spe...

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Finance Minister P Chidambaram today said Bihar’s backwardness was not due to lack of funds but “lack of good governance”.

Speaking in Rajya Sabha during discussion on vote-on-account for expenditure of the state, Chidambaram said “What is needed in Bihar is the accountability of the government.’’

Seeking to end the oft-levelled criticism that Bihar was backward since the Centre held back money due to it, Finance Minister P Chidambaram said, “I want to put this refrain to rest that money is the main constraint in Bihar’s development.’’ He said even during the President’s Rule, less than 5 per cent of the allocated money had been spent till June. However, the Opposition alleged that corruption in Bihar had increased during President’s Rule.

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Ravi Shankar Prasad of the BJP said that corruption was on the rise in the past six months and the Centre should explain reasons for its failure to tone up the administration.

“The Governor’s rule is worse than the 15-year misrule of Laloo Prasad Yadav’s RJD,” Prasad said. Jibbon Roy CPI(M) said there was an urgent need to check rot in Bihar as it threatened to spill over to neighhbouring states too. He said lack of land reforms was the basic reason for Bihar’s ills.

RJD member Kumkum Rai said the NDA government had always treated Bihar’s need for money as Laloo Prasad Yadav’s demand for personal expenses. She said Bihar was faced with crisis due to bifurcation. “Bihar invested its money in Jharkhand and after division of the state, people of Bihar are paying all the debts.’’

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