Andhra Pradesh Chief Minister N Chandrababu Naidu met with Union Finance Minister Nirmala Sitharaman on Friday ahead of the announcement of the Union Budget, emphasising the need for further financial help for the indebted state. Yesterday, the Andhra Pradesh Chief Minister met with Prime Minister Narendra Modi and other Union Ministers to advocate for a special budget and ministry-specific demands for the heavily indebted state of Andhra Pradesh.
Data from the state government indicates that Andhra Pradesh's public debt climbed from 31.02 per cent of GDP in 2019–20 to 33.32 per cent in the 2023–24 fiscal year, showing a decline in the state's financial stability over the previous five years.
The demands laid out by Naidu
- Naidu has communicated to the Centre the expectations of his state, which include an agreement to acquire a BPCL refinery in the upcoming Union Budget.
- In the Polavaram irrigation project, Naidu also pushed for the early release of the Center's arrears, which the state has long demanded due to changes in the project's scope that have increased costs.
Naidu's meetings with Union Ministers
- During his meeting with Amit Shah, the home minister, Naidu asked for his assistance in resolving remaining matters concerning the division of assets under the Andhra Pradesh Reorganisation Act, 2014, the division of institutions, and the resolution of financial disputes between the two states' power distribution companies. A review of the Andhra cadre of the Indian Police Service (IPS), which would increase the current number from 79 to 117, has been ongoing since 2015, according to the chief minister of Andhra Pradesh. In addition, he sought funds for establishing Greyhounds Training Centres.
- During his meeting with Nitin Gadkari, Naidu advocated support for the building of the Amaravati Outer Ring Road project, the expansion of the Hyderabad-Vijayawada route, and other road projects.
- The chief minister of Andhra Pradesh also asked Union Minister Manohar Lal Khattar for national assistance in positioning Vizag-Kakinada, as a centre for the production of green hydrogen.
Incentives for industrial development, consideration for an additional allocation under the Special Assistance to States for Capital Investment scheme, targeting essential sectors like roads, bridges, irrigation, and drinking water projects, support to the backward regions of Andhra Pradesh on the lines of the Bundelkhand package, and support to the state for the development of Dugarajapatnam port are among the other financial support that he has sought. In addition, he has asked for comprehensive financial support for the completion of the government complex and trunk infrastructure of the capital city of Amaravati.
Additionally, Naidu recommended that the Center establish a system to "effectively coordinate" with the state government for "timely intervention" on the matters addressed. According to the sources, Sitharaman listened to Naidu's worries patiently and assured to look into Andhra Pradesh's requests while keeping in mind the larger financial restrictions. Naidu's TDP, a significant ally in the BJP-led NDA government, had initially demanded a 'special category' status for Andhra Pradesh. With that prospect seeming highly unlikely now, Naidu has centred his demands around enhanced assistance to Andhra Pradesh's development.
Inputs: Agencies
Image Source: Multiple agencies
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