Tuesday, October 18, 2011

Bengal wants three-year interest holiday from Centre

Posted: Thu Oct 13 2011, 03:47 hrs
Jalpaiguri:Chief Minister Mamata Banerjee on Monday urged the Centre to waive interest on loans taken by the state for three years.

Addressing a rally at Malbazar in Jalpaiguri, the Chief Minister said 87 per cent of the state’s income is spent on paying interest on loans taken by the earlier Left Front government. She said it is increasingly becoming difficult to manage the finances of the state government.

“I request the Centre not to take interest on loans for the next three years. For every rupee spent by the government, the state has to pay 87 paise as interest to the central government on loans. Where will I get the money from?” she said. The chief minister said she has to think twice about funds before starting any priority projects on schools or hospitals.

“The balance 13 per cent of the state’s earnings is not sufficient to pay salaries to government employees. Only I know how I am running the government. That is why I am working so hard,” she said. But despite the poor finances, in the last few days the CM announced a Rs 50-crore package for Darjeeling and on Wednesday, she announced bounties for Adivasi areas of Terai and Dooars in Jalpaiguri.

Source: http://www.indianexpress.com/news/bengal-wants-threeyear-interest-holiday-from-centre/859280/