Driving Naari Programme launched in Chandigarh
Chandigarh, Punjab Chief Minister Mr. Parkash Singh Badal today welcomed the decision of the Government of India (GoI) to enhance the states’ share in the devolution of Central Taxes from 32% to 42% in wake of the recommendations of 14th Finance Commission but added that this would have substance only if the funds meant for stated under the present Centrally Sponsored Schemes were also transferred directly to states as untied funds.
In a statement issued here today, the Chief Minister said that his party- Shiromani Akali Dal (SAD) has been a strong votary of greater financial autonomy to the states in true federal spirit. Mr. Badal said that the BJP led NDA government has won a nationwide mandate in favor of commitment to federalize the Indian polity and to give a lion’s share to the states from its kitty of central taxes. He also stressed the need for provision of liberal investments in the former of direct central grants to states that were actively engaged on restructuring their agricultural economy through diversification. Agriculture allied activities such as dairying, fisheries, piggery, goatry, bee keeping etc must be given promotional incentives such as income tax exemption at par with agriculture. Similarly, MSP for alternative crops under the Swaminathan formula with assured marketing must be put in place on the pattern of wheat and paddy.
Describing the decision to raise states share in central taxes as a positive development, the Chief Minister said that the amount of funds to devolve to the states would go up from Rs 3.48 lakh crore in 2014-15 to Rs 5.26 lakh crore during the current fiscal. This would help in putting the states on strong fiscal pedestal to enable them to carry out their development programs according to the needs of the people. However, Mr Badal said that this was just the beginning and the momentum would need to be carried forward in the years to come with more steps to make the states truly autonomous in matters of policy planning and implementation for regional development as per specific needs of the people. “Along with this increase, the states must know how the Centrally Sponsored Schemes (CSS) would now be transferred to states after the Planning Commission has been scrapped and replaced with “NITI AYOG”.
The Chief Minister also urged the GoI to re-examine the Punjab’s case for inclusion in the list of debt ridden states as declared by the center. He said that everybody knew that Punjab fought the nation’s war for national unity and integrity from the early 1980s to mid 1990s. This had a disaster effect on the economy and development of the state. On its part,the state had exercised commendable fiscal discipline. Mr. Badal said that the 14th Finance Commission headed by Dr YV Reddy also appreciated state’s financial prudence and its never faulting on the repayment of its heavy debt.
The Chief Minister impressed upon the Ministry of Finance, GoI to review the state’s financial position in this context and take a considerate view to include Punjab in the debt stressed states. This step would not only help to consolidate its financial position but also boost the tempo of overall development, which was had to overcome these financial infirmities, Mr Badal added.
