Chhattisgarh Finance Minister advocates state priorities in pre-budget meeting
Jun 22, 2024
New Delhi [India], June 22 : Chhattisgarh Finance Minister OP Choudhary on Saturday attended the pre-budget meeting and submitted a comprehensive set of proposals in the interest of the state, including the amount of special assistance to the states, development of the State Capital Region and expansion of the rail network in the state.
He highlighted Chhattisgarh's strategic priorities for the upcoming fiscal year.
"Union Finance Minister Nirmala Sitharaman, Union Minister of State for Finance Pankaj Choudhary as well as Finance Ministers of other states were present in the pre-budget meeting held at Bharat Mandapam, Pragati Maidan, here," as per a press release.
In the meeting, on behalf of the Chhattisgarh government, Finance Minister OP Choudhary praised the progress of India's economy and the steps taken towards the goal of developed India by 2047.
"He also praised the development work being done in the field of agriculture, health, education, administration, and public facilities through infrastructure construction, skill enhancement, entrepreneurship development, and applications of modern information technology in the country," the release stated.
Referring to the 'Special Assistance Scheme for Capital Investment to States' under which Rs 1 one lakh crore has to be allocated as the Part I allocation, Chhattisgarh Finance Minister O P Choudhary said that in the Interim Budget 2024-25, a provision of Rs 1,30,000 crore has been made for this scheme, same as last year, but under the Part I allocation, the provision has been revised from Rs 1 lakh crore to Rs 55,000 crore.
"He urged the union minister to maintain the allocation at Rs 1 lakh crore as in previous years as it will support ongoing capital projects effectively. He suggested that the remaining amount can be kept for the state capital as reform-based incentives and special projects," as per the release.
The scheme was launched for the first time in fiscal year 2020-21 under which 50-year interest free loan is provided. The allocation is made in eight parts under the scheme.
"The Chhattisgarh finance minister sought approval for setting up a textile park and a medical device park to enhance manufacturing capabilities in the state. He stated that under the PM Mega Integrated textile regions and apprel parks (PM MITRAs), a proposal for setting up a textile park in Chhattisgarh has been sent to the Ministry of Textiles, Government of India in March 2022, but it has not yet received approval," the release stated.
Apart from this, a proposal has also been sent to the Ministry of Chemicals and Fertilizers, Government of India in September 2020 for the establishment of a Medical Device Park in the state, whose approval is expected.
"Choudhary also sought provision for the maintenance and construction of roads in forested, inaccessible, and slum areas, including those leading to Central Security Forces camps. He highlighted that a network of roads of more than 40 thousand kilometers length has been constructed in more than 20 thousand villages of the state under the Pradhan Mantri Gram Sadak Yojana due to scattered population and the expenditure on its maintenance is very high," as per the release.
He sought approval of funds for establishing an Integrated Geriatric Health Center in Raipur to support elderly healthcare needs. He urged the union finance minister to consider increasing rates under Pradhan Mantri Poshan Shakti Nirman Yojana and Ayushman Bharat PM Jan Arogya Yojana to align with inflation rates.
"Drawing the Centre's attention on the pending payments and compensations to Chhattisgarh in various ministries, OP Choudhary requested for issuing necessary instructions to the concerned ministries / departments on these subjects to release the amount soon in the interest of the state," as per the release.
He sought support for establishing international air services from Raipur Airport to enhance connectivity and tourism potential of the state. Choudhary also requested for setting up Eklavya schools in all tribal development blocks and 2 Navodaya Vidyalaya in aspirational districts.
"According to the new DMF (District Mineral Fund) rules recently issued by the Government of India, DMF can be used only on people living within 15 km of the mine area or up to 25 km from the mine. Under the earlier rules, up to 75 per cent of the DMF funds could be spent in the same district in which the mine is located, while the remaining 25 per cent could also be spent in nearby districts," as per the release.
Many new districts have been formed in Chhattisgarh in recent years, which has led to a greater need to spend DMF funds on a need basis for development work in the surrounding districts. But the new DMF rules prohibit this, which may hinder the development work of nearby districts.
"Due to this new rule, there may be a decrease in the availability of funds for development projects in the districts adjacent to the mining areas, due to which the population there may face potential problems. Finance Minister Choudhary has urged to change this rule in the context of Chhattisgarh. So that equal development of areas around the mineral-rich districts can also be ensured," as per the release.
Union Finance Minister took the suggestions positively and has assured to provide more financial support for the development of the state and public welfare works.
Along with the Finance Minister of Chhattisgarh, Finance Secretary Mukesh Bansal was also present in the meeting.