South Indian finance ministers' meet gains political significance

A first-of-its kind southern finance ministers’ meet on Tuesday gains political significance as it could lead to a new political cooperation among non-BJP governments in the country.
Kerala Finance Minister Thomas Isaac
Kerala Finance Minister Thomas Isaac

THIRUVANANTHAPURAM: A first-of-its kind southern finance ministers’ meet on Tuesday gains political significance as it could lead to a new political cooperation among non-BJP governments in the country. Ministers handling the GST portfolio in southern states, except Telangana, are expected to discuss and debate the issue.

The Terms of Reference by the Finance Commission, questioning fiscal federalism and principles of democratic governance, could well be one of the major campaign topics in the forthcoming Karnataka elections too. Representation from five states — Karnataka, Tamil Nadu, Andhra Pradesh and Puducherry, in addition to Kerala — has been confirmed.

Sources in the state government said Tamil Nadu and Telangana were a bit apprehensive about the move while the issue has been a major concern for all southern states.“Though apprehensive, Tamil Nadu has confirmed its presence at the meeting. Telangana has neither confirmed its presence not intimated any objection to the meet so far,” sources said.The meeting is expected to go into the changes in the Terms of Reference of the 15th Finance Commission. BJP-ruled Goa was not invited to the meet.

“It has more relevance than a political meet,” said Finance Minister Thomas Isaac.“When we approached them, all these southern states aired similar concerns. Hence, we decided to convene a meeting to discuss these issues and find ways to address them.”He said Kerala will take the measures discussed at the meeting forward.

With the Assembly elections around the corner, it could be among the major topics for poll campaign in Karnataka. The Karnataka Chief Minister has already come out against the Centre on the issue, with Agriculture Minister Krishna Byre Gowda expected to represent that state at the meeting.

The Finance Commission’s ToR, including the decision to adopt 2011 census data as the basis for devolution of funds to states, has invited severe criticism from the southern states. There’s a general discontent among the southern states regarding the ToR.

Though not a political meet, it gains political significance as a united fight against the challenges posed by the BJP Government against the federal system, said Opposition Leader Ramesh Chennithala.“The Centre has taken a step-motherly attitude towards the southern states. Kerala should not be penalised for the development that we achieved. If the ToR fixed by the Finance Commission are followed, Kerala will suffer major loss. Therefore, the meeting is a fight against the move challenging the country’s federal system,” Chennithala told Express.Initially, the Kerala Government considered calling a meeting of finance ministers from across the country. Later, the meeting of southern states’ ministers was finalised.

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