The Planning Commission on Monday formalised a special plan — not the special status, as demanded by both — under the Backward Regions Grants Fund for Bihar and Bengal.
The programme covers 272 backward districts of the country -- all districts in Bihar and 12 out of 20 in West Bengal.
A senior planning commission official said the two states could expect a 25-30% hike in central funds. Bihar’s special plan for 2013-14 is likely to be around Rs. 2,000 crore against Rs. 1,500 crore this year.
He said West Bengal would also see a hefty hike in funding. The state witnessed a 22% increase in BRGF in the last budget when the TMC was supporting the UPA.
A senior central government functionary clarified that Kumar’s demand for the special status was not likely to be met. He, however, said the Centre's intention to redefine the method of identifying a backward region – as declared in the last budget – will qualify Bihar and some other states for special allocations.
"The current definition of backwardness is based on being a hilly region or a border area is illogical and, therefore, we are reworking it. We will come out with a new policy in a few months," he said.