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‘Fiscal management by states needed for central programmes’

Saraswat dismisses Mamata Banerjee's comment that states have less opportunity for discussion of states' issues

Policy Pulse
Publish Date: Jul 19 2016 11:00AM | Updated Date: Jul 19 2016 11:00AM

‘Fiscal management by states needed for central programmes’

 A Niti Aayog’s member has said that even as its major agenda is "cooperative federalism", states will have to ensure their own fiscal management for implementation of central programmes

 
"Tweaking" of plans for various central programmes have to be done within the state's "economic framework" and states need to prioritise accordingly and opt for the right "balance" through fiscal management, Vijay K Saraswat said on the sidelines of an interactive session organised by the Calcutta Chamber of Commerce .
 
"We are aware of that (debt burden of states). And you have to tweak these plans within the framework of the states' economy and prioritise accordingly," he added.
 
"If there's a burden of 35 years of misrule what can we (NITI Ayog) do? If a father has left his child with debt what does the child do? He works hard to repay and does not go to neighbour to repay," he said.
 
Saraswat also dismissed Bengal's Chief Minister Mamata Banerjee's comment that states have less opportunity for discussion of states' issues.
 
"We are interacting practically with every state. There is a planned focus for each state in the various programmes of the central government. If the states have any issues for what kind of template to be followed or kind of customisation is needed for implementation of central programmes, we are interacting with them," he said further.