Palaniswami urges Modi to allocate Rs 9,000 cr for corona relief

Chennai: Tamilnadu Chief Minister Edappadi K Palaniswami today urged Prime Minister Narendra Modi to allocate Rs 9,000 crore towards coronavirus relief and prevention measures in the state, which has so far tested 234 positive cases.

In his address at the Chief Minister’s meeting covened by Mr Modi through video-conferencing, he detailed the preventive measures put in place by the government to prevent spread of corona, he said supply of Test kits should be increased, besides PPEs, N-95 masks, and ventilators has to be provided in sufficient numbers for managing the COVID-19 and requested a grant of Rs 3,000 crorefor this purpose.

Apart from seeking allocation of Rs 9,000 crore as requested by him in the earlier letter, Palaniswami also urged Modi to relax, as a one time measure, the fiscal deficit limits of three per cent of GSDP for financial years 2019-20 and 2020-21.

He also said to meet the additional expenditure arising due to this pandemic, additional borrowing of 33 per cent above the permitted level for fiscal year 2019-20, should be allowed for 2020-21.

Stating that grants due to States in 2020-21 should be released in advance, he said 50 per cent of the Finance Commission grants to the Urban and Rural Local bodies and 50 per cent of the revenue deficit grant could be released now.

He also urged Modi to immediately reelase the GST compensation amount due for the December-January 2019-20, Grants under the National Health Mission, while doubling the ways and means limit of the States which was increased by 30 per cent by RBI.

He also said the ways and means advances availed in the fiscal year 2020-21 should be made interest free.

 

NT Bureau