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Friday, August 24, 2001

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Rs. 10,834 cr. Plan outlay for Maharashtra

By Our Special Correspondent

NEW DELHI, AUG. 23. The 2001-02 Annual Plan for Maharashtra has been fixed at Rs. 10,834 crores on the basis of identifiable resources at present.

The Plan size was finalised here today at a meeting between the deputy chairman of the Planning Commission, Mr. K. C. Pant, and the Maharashtra Chief Minister, Mr. Vilasrao Deshmukh.

During the discussions, Mr. Pant appreciated the achievements made by the State in the areas of health indices such as birth rate, infant mortality and life expectancy, but suggested that the State should further gear up to achieve the replacement level fertility by 2008, as the growth of population was higher than in other States. He also said the regional imbalance with regard to rural development should be addressed immediately.

Mr. Pant expressed concern over the fiscal situation in the State as the total borrowings during the first four years of the Ninth Plan exceeded the total outlay and the outstanding debts, both direct and contingent, had been mounting.

In his presentation before the Commission, Mr Deshmukh said a number of steps had recently been taken to reduce Government expenditure. The State had also taken a number of measures to restore buoyancy of the State revenue receipts which included value added tax with effect from April 2002, rationalisation of water charges and optimisation of major taxes and duties. The Chief Minister also said the State would require appropriate Central assistance for the drought-affected areas of 26 districts.

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