From Our Correspondent
Agartala: To tide over the unprecedented financial crisis, Tripura government has sought special financial assistance of Rs. 14,600 crore for the next four financial years from the Centre.
However, the state government has sought the outlay as interest free loan unlike West Bengal which had secured a hefty financial assistance from the Centre after hectic parleys.
Finance Minister Badal Chowdhury after publishing white paper portraying how the state was deprived in allocating outlay at Civil Secretariat here on Wednesday, said that it would be very tough for the state to tide over the financial crisis after announcement of 13th Finance Commission’s report.
“Against the projection of the state government for Non-Plan Revenue Expenditure (NPRE) of total Rs. 26,848.76 crore, the FC had assessed only Rs. 16,349.13 crore indicating a short fall of Rs. 10,499.63”, Chowdhury said.
As per the convention, the FC usually finalizes state’s outlay on the basis of last year’s non-plan expenditure but the 13th Finance Commission finalized it on the basis of 2005-06 FY in lieu of 2009-10 FC.
Chowdhury said that the FC had allocated money for 1, 10,000 employees while the state has more regular employees (16000) leading to a sharp shortfall in the state’s non-plan expenditure.
Giving break up on the Rs. 16,400 crore for the remaining four of 13th FC, Chowdhury said that as the Balance from Current Revenue (BCR) for 2011-12 is of the order of (-) Rs. 1058 crore, the Special Plan Assistance of at least Rs. 1500 crore can negate the impact of negative BCR while leaving some fund for planned development.
As the BCR is likely to deteriorate further in successive years of FC, the SPA should increase by at leat Rs. 500 crore each year in the balance period of the FC to take care of this problem.
He further said, the state wants Rs. 1000 crore every year in the balance period of the FC as interest free loan or advance SPA. Chowdhury also pointed out that the 13th FC did not take note of the expenditure of Rs. 150 crore each year for maintaining IR battalions. “This must be released to the state to narrow down shortfall”, he said.
Virtually inviting challenge on the criticism on the ‘poor’ award of the 13th FC, Chowdhury said the government published the book as there was demand to publish a white paper on how state’s interest was ignored.
“Now, every one can read the book or whitepaper to know how the FC had deprived the state”, he said. Chowdhury further said, “The 13th FC had done this to teach a lesson states which is ruled by opposition parties”. Commissioner of Finance department Manoj Kumar was also present there.