AP government employees' salaries delayed

The Andhra Pradesh government has made a spectacle of its precarious finances in the wake of burdens of farmers' loan waiver, free power and other populist measures even as its hoarse cry against centre of ' foul play ' has failed to catch national attention.

To pay the January salaries of its employees and the pensions totalling Rs.2,200 crore, the Chandrababu Naidu government has resorted to ‘ways and means’ advance of Rs.950 crore for the second time since it came to power in June last to pay the salary bill for January 2015. As per Chandrababu Naidu's directions, pensions have been priority and salaries were gradually being cleared from Tuesday onwards .

The government is yet to pay the salaries of outsourced employees numbering nearly 35,000. The State had borrowed Rs.1,000 crore last month from the RBI as per the FRBM norms. The Finance ministry is also upset with the Centre releasing only Rs.500 crore as against Rs.1100 it got from the central poll of taxes for February.

The Centre has blamed it on the Election commission for delay in release of funds to states in view of the Delhi elections. Andhra Pradesh is anticipating release of nearly Rs.5000 crore immediately from the centre as part of its assurances under the State Reorganisation Act in the second week of February, after Delhi Assembly elections.

Chief Minister N.Chandrababu Naidu is also scheduled to go to Delhi on February 8 for a three-day visit. AP is keeping its fingers crossed. "My government anticipated the crisis and has been pleading with the centre for early release of grants as the state, facing a huge fiscal deficit in budget itself is not able to pull on without central support," Naidu had told the Cabinet meeting on Monday .