Funding pattern affected State's plan resources: CM

Our Correspondent
Kohima | May 24  

Nagaland’s Chief Minister TR Zeliang today said that for the special category states like Nagaland, the change in the funding pattern from the central government, consequent upon the change over from the Planning Commission to Niti Aayog, and the discontinuation of block plan grants to states have severely affected the availability of the state's plan resources.

“Now, we have to depend heavily on the Central flagship programmes and other CSS for development works in the state. However, on the non-plan front, thanks to better presentation of our case by the state finance department and all other concerned departments, the 14th Finance Commission has been kind and practical in their assessment, as compared to the 13th Finance Commission, and we are grateful for this change that has taken place,” said chief minister while speaking at the thanksgiving service of two years completion of DAN government under his leadership here at State Banquet Hall.  

He said that for the first time in recent memory, the state managed to have a positive BCR in the Annual Budget for 2016-17, adding that the state have also managed to clear all the back-log CDs relating to the past years from 2011-12 to 2015-16.  

“But the deficits of the 13th Finance Commission period continue to haunt us; and even today, we have to do a tight-rope walk every month to manage our cash balances with the RBI,” he informed.

Zeliang, who also holds finance portfolio, said that beginning from this year's budget, the state government is on a course to reduce budgetary deficits from year to year. He maintained that this itself is a welcome trend on the financial front.  

“We have also stepped up our efforts at revenue mobilization through introduction of on-line taxation system since 2014-15, resulting in a very encouraging growth in tax collection during the last year itself. Our achievements on the social and economic fronts have been highlighted in this year's Republic Day speeches and in the Governor's address during the last Budget Session held in March, 2016,” he said.