Type to search

Release 16,447 Crore to AP: Naidu Writes To Centre

Andhra pradesh News POLITICS

Release 16,447 Crore to AP: Naidu Writes To Centre

admin1 January 12, 2018

Ahead of his meeting with Prime Minister Narendra Modi on Friday (Jan 12,2018) in New Delhi at around 10.40 AM, Andhra Pradesh Chief Minister N Chandrababu Naidu has written a fresh letter to Union Finance Minister Arun Jaitley seeking Rs 16,447 Crore. Naidu informed Jaitley that the AP government is expected to receive the afore-mentioned money under the SAM from 2015-16 to 2019-20. Since it is ‘difficult’ to consume the funds for externally-aided projects (EAPs) with just only two more years left, Naidu has requested Arun Jaitley to issue the funds in the form of “grant” by the Centre through NABARD, instead of loans from external agencies.

AP government had earlier expressed their inability to spend a quantum of funds under the Special Assistance Measure (SAM) announced by the Centre within the stipulated five years.

Chandrababu Naidu had told the state Assembly during the winter session that his government saw “no immediate benefit” from the SAM under externally-aided projects (EAPs) after the Centre turned down the state’s plea to let it use the money to clear outstanding loans.

“AP Government has sent proposals for various projects to the Department of Economic Affairs (DEA) under the EAP. I would like to mention that projects under the EAP will consume a lot of time for grounding and completing, considering the elaborate procedures involved in getting clearance and approval from external funding agencies,” Chandrababu said in the letter.

“The state government will not be in a position to consume the entire special assistance amount within the five-year period ending 2019-20, including (that for) ongoing projects signed after 2015-16,” he added.

Therefore, Naidu suggested, a “special dispensation amount” be provided to Andhra Pradesh for specified projects from National Bank For Agricultural and Rural Development (NABARD) instead of loans from external agencies.

“It should be disbursed as a grant from the Government of India so that this will not form part of the state FRBM (Fiscal Responsibility and Budget Management) limits. This will facilitate the state government for early commencement of projects and to avail of the SAM announced to our state,” Naidu said.

In his letter, Naidu listed six projects that require a total funding of Rs 16,725 crore.

Translate »