Allow states to avail extra GSDP borrowing sans conditions: Baghel

Automation of fair price shops, including installation of POS machines in remote and forest areas, is a difficult target to achieve for Chhattisgarh: Baghel

RAIPUR: Chhattisgarh Chief Minister Bhupesh Baghel on Tuesday demanded that the Centre allow state governments to avail the additional borrowing limit of 2 per cent of GSDP without any conditions to tide over the COVID-19 crisis.

In a letter to Finance Minister Nirmala Sitharaman, Baghel requested the Centre to reconsider its decision to link the increased borrowing limit of states to specific reforms, an official statement said.

He also stated that economic packages announced by the Centre to deal with the COVID-19 situation and ensuing lockdown are insufficient to revive the economy.

Considering the demand of states, the Centre has allowed an additional borrowing limit of 2 per cent of GSDP (Gross State Domestic Product), but state governments are unable to avail this benefit due to nonfulfillment of the set criteria, the CM stated.

States be allowed to avail the additional borrowing limit of 2 per cent without any conditions so that they can enhance their resources, it said. Baghel further said that automation of fair price shops, including installation of POS machines in remote and forest areas, is a difficult target to achieve for

Chhattisgarh, as 14 districts of the state are affected by Left Wing Extremism activities.

Similarly, there are many technical hurdles in implementing the DBT (Direct Benefit Transfer) system by ending the power subsidy being given to farmers in the agrarian state, he added.

The problem of scarcity of resources remains unchanged for states and the responsibility of state government has

increased even more as economic packages announced by the Centre to deal with the anomalous situation arising due to the Corona crisis and nationwide lockdown are also insufficient to revive the economy and meet the needs of the common people, he said.

It is the state's priority to provide free food grains to the poor, regular salary to people and proper health facilities for all, the CM said.