Puducherry CM meets PM Modi, seeks ₹2,000 crore more from Centre

Mr. Rangasamy said after the introduction of Goods and Services Tax, the Union Territory’s revenue collection had come down drastically

Ahead of the commencement of the budget session of Puducherry Assembly on Wednesday, Chief Minister N. Rangasamy on Tuesday called on Prime Minister Narendra Modi in New Delhi and sought his intervention in sanctioning additional Central Assistance of ₹2,000 crore for the Union Territory.

Submitting a memorandum to the Prime Minister during his meeting, the Chief Minister sought the assistance before presenting the budget.

Mr. Rangasamy said after the introduction of Goods and Services Tax, the Union Territory’s revenue collection had come down drastically. The reason for reduction in tax collection was due to the fact that the economy in the region was not consumption based.

“If the Government of India decided not to extend GST compensation, we will be short of approximately ₹2,000 crore to reach at least the Revised Estimate (RE) figures of 2021- 2022 for the current year,” he said.

He added that the Central assistance set aside in the Union Budget for 2022-23 was ₹1,724, which was almost ₹150 crore less than previous years’ allocation. In 2021-22, the assistance was ₹1,874 crore with a total RE of ₹10, 414 crore, he added.

The Chief Minister brought to the knowledge of Prime Minister, the Union Territory’s committed expenditure towards payment of arrears after implementation of 7 th Pay Commission. Mr. Rangasamy also raised the issue of allocation of additional assistance when he called on Union Finance Minister Nirmala Sitharaman.

MEDICAL UNIVERSITY