The CM KCR is planning to visit Delhi to meet Prime Minister Sri Narendra Modi and Finance Minister Smt Nirmala Sitharaman to apprise them of the difficulties arised with funds not being released from the Centre. The CM wants to go to Delhi in next five to six days along with the officials to explain the intensity of the situation.
It was clear at the review meeting that it was due to the faulty polices of the Centre has lead to the present difficult situation. The meeting was of the firm opinion that the State had no option but to exercise self-control. The CM in this regard suggested that all the departments should cut their expenditure and observe fiscal discipline.
Meanwhile, the Centre had also failed to give Rs 2, 812 Crore IGST funds as part of the GST for the year 2017-18. The Comptroller and Auditor General also mentioned about this clearly in the Report.
The Centre while implementing the GST Act had assured the States that it would compensate if the GST revenue is less than 14 per cent. Due to the economic slowdown prevailing in the country, the Telangana state is not getting 14 per cent of GST collections. Moreover the Centre has to give the State Rs 1, 719 Crore as GST compensation dues. The CM asked the Centre to release these funds in his letter to the union finance minister.
The CM has instructed the officials from the Finance department to prepare a detailed note on the State’s financial situation and the funds, which are due from the Centre to be placed before the State Cabinet on Dec 11. The CM also wanted the ministers and officials to follow fiscal discipline in tune with the existing economic situation in the state.
