Central Grant or Loan? CM Says Any Fund Would Be Good For AP
Vijayawada: Chief Minister Nara Chandrababu Naidu has made clear that the state would benefit from the inflow of funds for development, irrespective of the source from where these come.
He was responding to the promise of `15,000 crores in the Union Budget for the Amaravati Capital works. YSRC leaders stated earlier in the day that this fund would come as loans from the World Bank and other financial institutions and that this was not a grant from the Centre.
BJP leaders including state party president Daggubati Purandeswari claimed that the Union Government would provide the funds.
The Chief Minister said the Union Budget has provided sufficient support to Andhra Pradesh. “The Centre has accepted most of the proposals put forward by AP. The funds for the capital will increase the economic activities and, due to this, the income for the state in the form of taxes will increase.”
As for finance minister Nirmala Sitharaman’s promise of giving AP a sum of `15,000 crore, Naidu said, “Whatever form the funds come in, they will be very useful for the state. The promised fund will help revive the construction of the capital. Funds from external agencies would have to be repaid after 30 years, even if they come in the form of loans.”
“The loan from various agencies will be guaranteed by the Centre. Some central grants will come in the form of capital assistance,” he said.
The Chief Minister said it was not clear what funds would be given for the Polavaram project. The Centre said the responsibility of completing Polavaram was theirs.”
“It is said there will be a Bundelkhand-style assistance for the backward districts. Industrial subsidies are also likely to be included in this package. After examining the terms, they will bend these in favor of AP,” Naidu said.
