Andhra CM Jagan pitches for Special Category Status in Niti Aayog meet

Stating that his government has inherited a near-empty treasury, Jagan, explained why Special Status is vital for the state.
Andhra CM Jagan Mohan Reddy (File Photo | PTI)
Andhra CM Jagan Mohan Reddy (File Photo | PTI)

VIJAYAWADA: Describing Special Category Status (SCS) as a lifeline for the state, Andhra Pradesh Chief Minister YS Jagan Mohan Reddy raised the issue of the issue of the coveted SCS to the State and explained its importance in the 5th Governing Council meeting of NITI Aayog in New Delhi on Saturday.

Addressing the meeting, chaired by Prime Minister Narendra Modi, the Chief Minister explained the sorry economic state of Andhra Pradesh, which he said is burdened under heavy debts and lacks employment opportunities.

Stating that his government has inherited a near-empty treasury, Jagan, explained why Special Status is vital for the state. At the time of the state bifurcation, in the Rajya Sabha, Special Category Status was promised to the residuary state of Andhra Pradesh. The same was even assured in the previous election manifesto of BJP, he recalled.

Supporting his argument, he presented the copy of the UPA government's cabinet meeting decision giving the Special Status to Andhra Pradesh. He also submitted the letter of the then Planning Commission member and member of the 14th Finance Commission Abhijit Sen explaining that Special Category Status was not scraped.

Jagan said as against the estimates of the 14th Finance Commission that the revenue deficit of AP would be 22,113 crores between 2015 and 2020, the revenue deficit in the last five years was Rs 66,362 crore. On the other hand for the same period neighbouring Telangana has revenue surplus of Rs 1.18 lakh crore, he pointed out.  

He said in the financial year 2015-16, the per capita income of Telangana stood at Rs 14,414, while it was just Rs 8,397 in Andhra Pradesh. He further pointed out that Hyderabad is economically developed while none of the cities in Andhra Pradesh are economically developed.

Drawing the attention of the meeting to the fact that Andhra Pradesh was having a debt burden of Rs 97,000 crore at the time of bifurcation in 2014, which increased to Rs 2.58 lakh crore in 2018-19, which is forcing the government to pay Rs 20,000 crore as interest and Rs 20,000 crore as principal for clearing the debt.

Stating that Andhra Pradesh is an agro-based economy, which is bereft of industrialization, the Chief Minister said Special Status once implemented will help the state get investments, incentives, concessions and certain exemptions like income tax. "Per capita grant to special category states is Rs 5,573 crore whereas Andhra Pradesh received only Rs 3,428 crore," he pointed out.

He emphasised the state needs super speicality hopsitals, five star hotels, manufacturing industries, high -value service industries such as IT, premier institutions of higher education and research to transform the economic architecture of the state, which is only possible with SCS.

In Andhra Pradesh, where due to decreasing job opportunities, youth from the state are migrating and the unemployment is increasing, hence it is imperative that the Union Government of India give special status to the state, he said.

Jagan also urged the Centre to come to the rescue of farmers in the state, who have been facing problems for years now. He raised the issues of minimum support price, Central Government’s help to education and health sectors, housing for poor among others on the occasion. He also explained about the reforms taken up by the State Government.

Jagan, who arrived in New Delhi on Friday, on the same day has met Union Home Minister Amit Shah and pitched for the Special Status to the State. On the occasion, he reiterated that until it is achieved, he will be raising the issue of Special Status to the state on every occasion and at every forum.

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