Stalin seeks release of Rs 20,860 crore Central dues to Tamil Nadu
In a meeting with the Union finance minister Nirmala Sitharaman in New Delhi on Friday, Tamil Nadu Chief Minister M K Stalin urged the Centre to release Rs 20,860 crore towards pending GST compensation and many government schemes. He indicated that this would help the state in overcoming the fiscal crisis.
The amount mostly consists GST compensation, which is about Rs 13,500 crore, and dues from schemes like rice subsidy, Rashtriya Madhyamik Shiksha Abhiyan and Sarva Shiksha Abhiyan.
In a memorandum submitted to Sitharaman, the chief minister added that Tamil Nadu is in severe financial stress as the revenues were hit by the pandemic. He added that the state had to incorporate additional expenses in the health sector and its infrastructure and hence it is under financial stress even after easing out of the pandemic now.
On Thursday, Stalin had asked for the Centre government nod to send relief items – including essential commodities and medicines to Tamils living in northern and eastern parts of Sri Lanka – As the country is reeling under economic crisis. The island nation is reeling under financial stress with public debt that is estimated to be 119 percent of the GDP. Around 36 percent of its foreign debts are coming in the form of international sovereign bonds, followed by the Asian Development Bank (ADB) that contributes around 15 per cent.
“The union government should permit us to help Lankan Tamils in economic distress. The Prime Minister patiently listened and has assured to act on our demands. I thank him for his assurance,” Stalin had said. Other demands that the state is lining up before the Centre include help in Karnataka’s plan to come up with Makedatu Reservoir project across river Cauvery and exemption for the state students on NEET medical entrance among others.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
