Task force tightens relief purse strings

Since these loans are for three months, the states have been asked to submit the expenditure bills of the previous amount that had been disbursed. Rs 1,186 crores had already been allocated in August from the Calamity Relief Fund.

Another Rs 12 crore was allocated to Rajasthan, Western Uttar Pradesh and Haryana for their fodder needs. Seventy per cent of the crops in Rajasthan have been affected this year in the fifth consecutive dry spell in the state. The freight subsidy for Rajasthan has also been extended to June 30 next year.

The package has been approved as per recommendations of the 11th Finance Commission. 8216;8216;Most states had asked for funds for infrastructure needs like improvement in roads and irrigation. Those do not fall under calamity relief,8217;8217; said Agriculture Minister Ajit Singh.

Asked whether any decision had been taken on the states8217; demand for loan waiver, Singh said the meeting today discussed aspects related to only the 11th Finance Commission guidelines and the Cabinet would take care of all other such demands.