About five months after the bifurcation, AP government is on verge of realising some of the commitments given to it by the Centre under AP State Reorganisation Act.
This was the impression gained by the State officials in a meeting with the Union Finance Ministry in Delhi on Wednesday to discuss the detailed proposals for the construction of the capital, other pending financial packages and concessions promised to the State.
“All pending issues including release of funds to make up for the revenue deficit of Rs.15,692 crore, special category status, special development package of Rs.24,350 crore to backward districts, tax incentives, funds for capital construction were given due attention,”sources said. The Wednesday’s meeting helped the State in giving clarifications sought by the Centre will coordinate the process. There will be some positive outcomes by December 15, they added.
As an immediate relief, however, the Centre will release Rs.1,350 crore under 13 Finance Commission next week for local bodies, primary education, drinking water and roads. Another meeting has been scheduled next week between the core committee constituted by the Centre with Secretaries of Central departments and group of Secretaries from the State on the special development package.Sources said that the government sought a Central fund of Rs.1.13 lakh for capital city.
