SNE NETWORK.CHANDIGARH.
The Punjab government has demanded Rs 1,32,247 crore from the 16th Finance Commission under a special package for the state. Chief Minister Bhagwant Mann demanded this special package in the commission’s meeting held at a hotel in Sector-17 with Finance Commission Chairman Dr. Arvind Panagariya.
The main focus of the government in this special package is on the development works of the state, diversification of crops, stubble management and changing the direction and condition of villages.
CM Mann has demanded Rs 8,846 crore under the package from the Finance Commission in view of the increasing challenges of narco terrorism and drug smuggling. During this, apart from the CM, Finance Minister Harpal Singh Cheema, Commission members Ajay Narayan Jha, Annie George Mathew, Dr. Manoj Panda and Dr. Soumya Kanti Ghosh, besides Secretary Ritwik Pandey were present in the Finance Commission meeting. Advertisement
CM Mann said in the meeting that till now the state is getting 41 percent share in the central tax collected across the country, which should be increased to 50 percent. Let us tell you that till now the Center keeps 59 percent and the state 41 percent of the tax. This process of tax division is also called vertical devolution. Panagariya said that the state has demanded some changes in the importance given to criteria like population and area for division of wealth.
The CM discussed the needs and challenges of Punjab in detail before the commission and said that Punjab has contributed immensely in making the country self-sufficient in food production, achieving and preserving independence. Citing these facts, the CM demanded a special economic package from the commission to give the state.
33 percent increase in Punjab’s revenue
Finance Minister Harpal Singh Cheema, while presenting the report to the Chairman of the Finance Commission, said that the government’s tax revenue has increased in the last two years. The state’s tax revenue rate has surpassed the national growth rate. Minister Cheema said that GST revenue has increased by 33 per cent and excise alone has increased by more than 50 per cent.
Finance Minister Cheema said that the cash credit loan of Rs 30,584 crore taken in March 2017 and the subsidy given just before the elections in the year 2021 have destroyed the economy of the state. In such a situation, through this special package, the Finance Minister shared his plan to overcome the challenges facing the economy and economic condition of Punjab.
Punjab government’s plan, special package will be spent in these areas
Area Demand made in special package (in crores of rupees)
75,000 for development works
17,950 for agriculture and paddy diversification
Rural local bodies (for development of villages) 10,000
Urban local bodies (for development of cities) 9,426
8,846 to tackle narco terrorism and drug smuggling
6,000 for revival of industries
5,025 for stubble management