15th Finance Commission should take a call on revenue deficit grant to Andhra Pradesh: FM Sitharaman

Agreeing that dispute raging between Centre and Andhra Presh government over payment of revenue deficit grant for over five years w still remained unresolved, Union Finance Minister Nirmala Sitharaman, however, said it was for 15th Finance Commission to take a call on issue and t Finance Ministry.

She asked state government to discuss issue with 15th Finance Commission and let latter decide. "It is unresolved. But it is for 15th Finance Commission to decide, t Finance Ministry.

I said this also to state government when Finance Minister met me," Sitharaman told a press conference in Vijayawa on Wednesday evening.

During his recent trip to New Delhi, Andhra Presh Chief Minister YS Jagan Mohan Reddy submitted a memorandum to Centre stating that a sum of Rs 18,830.87 crore was still overdue in form of revenue deficit grant to state.

Post-bifurcation of state in 2014, Centre agreed to bridge revenue gap but pegged amount at Rs 4,117.89 crore for financial year 2014-15 whereas state government, citing a CAG report, claimed amount was Rs 22,948.76 crore.

Even out of Rs 4,117.89 crore, Centre so far paid only Rs 3,979.50 crore, leaving a gap of Rs 138.39 crore, according to state government.

"I don't kw about amount and what is unresolved is something which Ministry has to work, considering that it was based on 14th Finance Commissions recommendations. 14th FCs term is over. So it is an issue which has to be discussed," Sitharaman said, replying to questions.

Maintaining that she was t questioning state governments claims on issue, Union Finance Minister remarked, "I don't kw what kind of solutions I can offer.

This is something which I have told minister concerned who met me to speak about it." She pointed out that one-year report of 15th Finance Commission has alrey come and was being implemented.

"And, 15th FC will give for rest of 4-5 years. You are talking about a recommendation of 14th FC, so it has to be discussed," Sitharaman ded.

(Photo Credit: PTI)