Financial Condition is not that good: Venkaiah Naidu
posted on Jan 16, 2015 9:05AM
Andhra Pradesh Chief Minister Chandrababu Naidu is trying to convince the Centre for release of funds to the state before closure of the current financial year. He will meet Finance Minister Arun Jaitley today for the same purpose. But, one can’t ignore the recent statement made by the Union Minister Venkaiah Naidu.
He said “Financial situation of the Centre is also not that good because the previous UPA government has destroyed the financial condition before leaving the power. It may take some time for the Centre to recover and extend its help to the states. However, NDA government will extend its full support to the AP state and fulfill all the promises made to it in the AP Reorganization Bill-2014.”
CM Chandrababu Naidu is proposing to build a world class capital city that needs Rs.1-1.50 lakh crores. Centre has promised to bear 90 per cent of the funds for the Polavaram Project that may runs into thousands of crores. It is also supposed to grant Rs. 16000 crores funds to meet the state deficit budget. IIT, IIM, AIMS, constructing industrial corridor between Vizag and Chennai, smart cities projects etc. also need lakhs of crores of funds release from the Centre.
Though some of them can be completed in phases during next four and half years, huge funds are to be released at the earliest for the construction of Polavaram Project and Capital city. CM Chandrababu Naidu can’t ask for excuses or can’t afford to prolong these two projects because he wants to retain his power after 2019 general elections also by fulfilling these two promises that he made to people of the state.
So, obviously he may have to pressurize the Centre for release of funds to complete these two projects at least. BJP that is planning to emerge as alternate political power in the AP state has to prove that it is committed for the development of the state otherwise it not only creates a negative impression among the people but also may strain its relations with TDP. So, BJP also can’t ignore Chandrababu Naidu’s appeals. But, Minister Venkaiah Naidu’s statement is clearly hinting that it is not that easy. So, NDA government may need a year or so to set right the financial condition back on to its track and start funding the state. But, can the AP government wait till that long? So, TDP and BJP may have to find some alternate method to ensure development activities in the state go smoothly.