Today's News
J&K to get highest central grant
The state would get Rs 66,000 cr in grant-in-aid by the Centre during 2015-16 to 2019-20
February 25, 2015
On a day the Bharatiya Janata Party (BJP) and People's Democratic Party (PDP) formally announced a coalition to form a government in Jammu and Kashmir,
the state got more good news, from the 14th Finance Commission. The state would get Rs 66,000 crore in grant-in-aid by the Centre during 2015-16 to 2019-20.
Comparing the grant-in-aids given for 2010-2015 period, the Y V Reddy-headed Finance Commission gave an increase of 224 per cent to the state for its local and urban bodies and state disaster response fund.
The 13th Finance Commission gave an increase of 50 per cent to
J&K for the period 2010-15, compared to the previous commission's recommendations.
Other states which will see the highest increase in grants are: Kerala (184 per cent), West Bengal (178 per cent) and Mizoram (152 per cent). Andhra Pradesh, even after its bifurcation, saw its share increase by almost 170 per cent - from Rs 13,532 crore to Rs 36,588 crore. On the other hand, Telangana got around Rs 10,000 crore.
Arunachal Pradesh turned out to be the biggest loser, as its grant-in-aids would be reduced by 70 per cent for the coming five years . This is in contrast to the increase of 160 per cent it got for 2010-2015 compared to the previous five years. Other big losers are Sikkim (66 per cent), Meghalaya (52 per cent) and Goa (28 per cent). According to the commission's report, the amount given in grants to the states will be doubled to Rs 5,37,254 crore during 2015-16 to 2019-20.
J&K to get highest central grant | Business Standard News
The panel has recommended grant of Rs 9892 for 2015-16, Rs 10831 for 2016-17, Rs 11849 for 2017-18, Rs 12952 for 2018-19 and Rs 14142 for 2019-20, the report reads.
The panel has recommended Rs 4769.37 crore grant for local bodies including Rs 3463. 73 for rural bodies and Rs 1306.64 for urban local bodies.
Of Rs 3463.73 crore for rural bodies, Rs 3117. 36 crore is basic grant and Rs 346.37 is performance grant.
The panel has recommended Rs 1044. 51 crore basic grant for urban local bodies and Rs 261.13 crore performance grant.
The State has more than 4000 Panchayats whereas the number of urban bodies which includes Municipal committees, councils and corporations has gone over 80.
Apart from local bodies, the Commission has also recommended Rs 1408 crore as SDRF.
Noted economist and former chairman of Jammu and Kashmir Bank, Dr Haseeb Drabu said the award will be quite beneficial for the state.
“The criteria adopted by the Finance Commission for devolution of taxes will benefit the states like Jammu and Kashmir,” Drabu said.
A senior official of State’s Finance Department also termed the development as positive for state’s ailing economy.
The 14th FC headed by Dr Y.V. Reddy, former Governor Reserve Bank of India had visited the State in June last year and held detailed interactions with different sections of the society.
So its clear.... true development, job creation is going to happen as soon as the new government takes over.
Infra development, recruitment drives, better public administration, better facilities, tourism promotion..
Kashmir is going to rock. !