KCR pitches for higher FRBM limit

CM tells NITI Aayog team that FRBM norms for raising resources through borrowings for revenue surplus states like Telangana should be on a par with the Government of India. He reminds it that the 14th Finance Commission termed TS as revenue surplus state

Hyderabad: Telangana Chief Minister K Chandrashekar Rao has requested a NITI Aayog delegation that called on him, to increase the FRBM (Fiscal Responsibility and Budget Management) limit from the existing 3 per cent to allow the new state to avail higher loans from external sources.

Members of NITI Aayog team VK Saraswat and Ashok Jain met Rao at the Secretariat on Thursday. During his interaction with them, Rao pointed out that 14th Finance Commission had declared Telangana as a revenue surplus state. FRBM norms for raising resources through borrowings for revenue surplus states should be on par with Government of India, he stressed.

Further, Rao stated that this would enable states to invest in capital infrastructure to improve the economic growth. The Chief Minister laid emphasis on this point in the light of reduction in Centre-sponsored scheme outlay for the states and lesser share in the devolution of funds to revenue surplus states.

Prior to their meeting with CM, NITI Aayog panel members met Vice Chairman Planning Board S Niranjan Reddy and Chief Secretary Rajiv Sharma. They were given a presentation of flagship schemes such as Drinking Water Grid, Mission Kakatiya, Haritha Haaram etc.During their meeting with Chief Minister, NITI Aayog members are learnt to have told him that they would recommend to other states some of the ambitious projects of the TRS government.