NE states most dependent on central assistance; Nagaland tops the list


While other major states in India depend less on the centre for monetary support, states in Northeast on the other hand, depends largely on the centre’s support.

The north-eastern states and J&K are the most dependent on central assistance, but Bihar, among the major states, too leans on the Centre’s shoulder.

Delhi on the other hand, generates more than 90% of its own revenue and so expects the least financial support from the central government among all states.

Among the more self-reliant states are Haryana, Maharashtra and Tamil Nadu.
In 2016, Prime minister, Narendra Modi based on the report of the Committee of Chief Ministers, said that the Centre has decided to continue to provide assistance in the ratio of 90:10 for core Central schemes and 80:20 for non-core schemes to the North Eastern States.

Earlier, the Northeastern states claimed that under the BJP-led National Democratic Alliance (NDA) regime funding pattern for several schemes in the region was 90:10 where Centre contributed 90% and state share stood at 10% was discontinued.

Eight Northeast eastern states including Sikkim which are members of the North Eastern council (NEC) had adopted a resolution stating that from the recommendation of 14th finance commission it appears that the special category state status of Northeastern states is going to discontinued. Tripura chief minister, Manik Sarkar took lead in drafting the resolution which stated that changes in the funding pattern will drastically affect the Northeastern states.

Source: Nagaland Post


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