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Budget 2024: Govt meets allies’ demand, secures NDA’s longevity
HT reported on Sunday that the state govt asked the Centre to provide funds to build infrastructure projects such as barrages and river linking plans to prevent losses due to floods every year
Financial assistance announced for Andhra Pradesh and Bihar by union finance minister Nirmala Sitharaman on Tuesday while presenting her seventh budget has come as a shot in the arm for the longevity of the Bharatiya Janata Party-led National Democratic Alliance (NDA) coalition government at the Centre.
The BJP, which fell short of numbers, had to rely on 28 lawmakers of the Telegu Desam Party (TDP) and the Janata Dal (United) (JDU) in addition to a clutch of other parties to form the government at the Centre for the third time.
As it was expected, the union government accommodated the wishes of its two main alliance partners, the TDP and the JDU, which run alliance governments with the BJP in Andhra Pradesh and Bihar. Both the partners had sought special category status or special packages to meet the infrastructure needs in their respective states.
Bihar has secured ₹26,000 crore allocation for road connectivity projects, new airports and sports infrastructure. The state will also get ₹11,500 crore for flood mitigation projects as it was one of the major demands by the state government.
HT reported on Sunday that the state government asked the Centre to provide funds to build infrastructure projects such as barrages and river linking plans to prevent losses due to floods every year.
Also Read:Bihar, Andhra may get special sops in Budget on Tuesday
Announcing the allocation for Bihar, which goes to polls in 2025, the finance minister said, “Bihar has frequently suffered from floods, many originating outside the country. Plans to build flood control structures in Nepal are yet to progress. Our government, through the Accelerated Irrigation Benefit Program and other sources, will provide financial support for projects with an estimated cost of ₹11,500 crore. Additionally, a survey and investigation of Kosi-related flood mitigation and irrigation projects will be undertaken.”
The FM also said the union government will support the development of an industrial nod at Gaya on the Amritsar-Kolkata industrial corridor in Bihar to catalyse the development of the easter region.
To encourage religious tourism in the state, the budget has proposed Vishnupad Temple Corridor and Mahabodhi Temple corridor to be transformed into world class pilgrim tourist destinations; Rajgir to be comprehensively developed; Nalanda to be developed as a tourist centre and the Nalanda University to be “revived to its glorious stature.”
JDU’s working president Sanjay Kumar Jha said, the budget announcements for the state are “just the beginning” and the provisions for infrastructure projects, the power plants and other development projects will be a “game changer”.
“We are particularly happy at the mention of the critical pain point for Bihar about the flood control structures in Nepal. Over the years, under the visionary leadership of CM Nitish Kumar, I have constantly pursued this matter - as an MLC, Water Resources Minister and then as Rajya Sabha MP,” he said.
In Andhra Pradesh, where chief minister N Chandrababu Naidu had put on record the need for special assistance to build the capital Amravati, the budget allocation proposes ₹15,000 crore package.
Sitharaman announced that ₹15,000 crore will be allocated for development of Amravati as Andhra Pradesh’s capital, and over ₹3 lakh crore for schemes benefiting women and girls. She said the government is committed to ensure the completion and financing of Polavaram irrigation project.
“Under the AP Reorganisation Act, for promoting industrial developments, funds will be provided for essential infrastructure such as water, power, railways, and roads and also grants for backward regions of Rayalaseema, Prakasam North coastal Andhra Pradesh, as stated in the Act will be provided,” she said.
Reacting to the budget allocation, Naidu in a post on ‘X’ said, “On behalf of the people of Andhra Pradesh, I thank the Hon’ble Prime Minister, @narendramodi Ji and Hon’ble Union Finance Minister, @nsitharaman Ji, for recognising the needs of our State and focusing on a Capital, Polavaram, industrial nodes and development of backward areas in AP in the union budget of FY 24-25. This support from the Centre will go a long way towards rebuilding Andhra Pradesh. I congratulate you on the presentation of this progressive and confidence-boosting budget.”
TDP general secretary and state minister, Lokesh Nara described the budget as a “new sunrise for Andhra Pradesh” and said the provisions will go a long way towards helping the state achieve its development and social objectives.
“It’s a matter of great pride for the people of Andhra Pradesh that our struggle has been recognised, and a special and holistic package has been provided covering all important areas like industrial growth, infrastructure, irrigation and HRD. I would like to make a special mention to the generous contribution made toward Amaravati and Polavaram. Today will be marked as a red letter day in the new state’s history...” he said in a post on X.
