Telangana CM KCR to chair Cabinet meeting on Thursday

Hyderabad: The State Cabinet meeting will be chaired by Chief Minister K Chandrashekhar Rao at Pragati Bhavan at 3 pm on Thursday. With the Central government cutting down as well as delaying funding to the State beyond tax devolution, the Cabinet will discuss on mobilisation of additional resources for the State and other issues. The […]

Hyderabad: The State Cabinet meeting will be chaired by Chief Minister K Chandrashekhar Rao at Pragati Bhavan at 3 pm on Thursday. With the Central government cutting down as well as delaying funding to the State beyond tax devolution, the Cabinet will discuss on mobilisation of additional resources for the State and other issues.

The union government has been imposing severe cuts in funds being released to Telangana since last fiscal. Though the State government planned to raise over Rs 15,000 crore through open market borrowings, the Centre did not approve the proposals until recently.

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Apart from tax devolution, the funding under Centrally Sponsored Schemes (CSS) and other provisions were cut down by nearly 25-30 per cent when compared to previous years. Under the Centre’s special borrowing scheme, Telangana received just Rs 2,197 crore, the lowest Goods and Services Tax (GST) compensation among the major States and fourth lowest among all the States.