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N-E states in a unique position: Narrow revenue base, flush with Central funds
TIWN
N-E states in a unique position: Narrow revenue base, flush with Central funds
PHOTO : TIWN

Agartala/Shillong, June 10 : The 15th Finance Commission (2021-26) headed by N.K. Singh had earlier suggested that the northeastern states accelerate resources and revenue to strengthen their fiscal position.

With 45.58 million people (2011 census), in the northeast region, which consists of 8 per cent of India's total geographical area and 4 per cent of the country's population, there is a lack of big and medium scale industries in most of the states except Assam.

According to experts, the hilly region has huge untapped natural resources including gas, oil, water and forests, but their full utilisation is yet to be done, making for a poor revenue base for seven of the eight northeastern states.

To improve the basic minimum services and infrastructure in the region, the Central ministries and departments, keep 10 per cent of their Gross Budgetary Support (GBS) for the central sector (CS) and the centrally sponsored schemes (CSS) unless they are exempted.

Currently, the eight mountainous northeastern states, Himachal Pradesh, Jammu and Kashmir and Uttarakhand have the special category tag, and are getting higher financial support from the Centre.

As per the budget estimate, for the years 2014-15 to 2020-21, actual expenditure in the northeastern region by non-exempted Central government ministries and departments was Rs 2,65,766.67 crore.

 

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