KCR urges Central Govt to release funds soon

Hyderabad: Chief Minister K Chandrashekhar Rao on Thursday took up with Union Finance Minister Arun Jaitley the delays in release of Rs 450 crore to Telangana State by the Centre towards the Backward Regions Grant Fund for 2017-18.

The Chief Minister, who met Jaitley on Thursday evening, handed over a letter on the subject. Thanking Jaitley for the release of the funds totalling Rs 900 core for 2014-15 and 2015-16, Rao in the letter said: “I am thankful to you that the Government of India recognised nine rural districts of Telangana as backward districts and sanctioned the grants.”

The Chief Minister, however, reminded Jaitley that “for the financial year 2017-18, the grant has not been sanctioned yet.” He asked Jaitley to get the matter examined and direct the officials concerned to release the amount to the State at the earliest.

Rao also discussed several other issues that the State had been pursuing with the Centre for some time now. He asked Jaitley to ensure that the Centre sanctions the promises All India Institute of Medical Sciences and Indian Institute of Management. Once the Centre okays AIIMS for the State, Telangana will ensure availability of land and all basic amenities. He also reminded Jaitley the promise made by Union Minister Smriti Irani of sanctioning an IIM for Telangana and requested that this too be granted soon.

During the discussions, Rao also requested Jaitley to continue the increased Fiscal Responsibility and Budget Management limits for Telangana. Last year, the Central government had enhanced the FRBM limit for Telangana from the statutory 3 per cent of the Gross State Domestic Product to 3.5 per cent. The increased limit offers the possibility to a State government to enhance its borrowings to up to 3.5 per cent of its GSDP which is otherwise capped at the statutory 3 per cent.

The Chief Minister was accompanied by State Principal Secretary, Finance, K Ramakrishna Rao, Principal Secretary in the Chief Minister’s Office S Narsing Rao, Chief Advisor to the State government Rajiv Sharma and Telangana Rashtra Samithi floor leader in Lok Sabha AP Jithender Reddy.