Raise states borrowing limits to 5 pc of GSDP sans condition, Bengal urges FM
SECTIONS
Last Updated: Jun 04, 2021, 10:43 PM IST
Share
Synopsis You are aware that just like last year, there has been (a) sudden dip in revenue, threatening the fiscal viability of the states. In our case we have been hit by a double whammy of a second wave of Covid-19 and the cyclone Yaas, the letter read.
Agencies
He said that an 18 per cent GST on hand sanitiser is truly shocking .
The West Bengal government on Friday suggested to Union Finance Minister Nirmala Sitharaman that the borrowing limits of states be raised to 5 per cent of GSDP without any condition to save them from a financial crisis. In a letter to Sitharaman, state Finance Minister Dr Amit Mitra also expressed disappointment over the proposal of hefty GSTs on items required to fight Covid-19 at the GST Council Meeting held on May 28.
In a letter to Union FM Nirmala Sitharaman, Mitra also sought that the compensation period be extended by five years beyond July 2022, which will provide stability to states finances currently reeling under the effects of Covid pandemic and cyclones Yaas and Taukte.
While seeking an opinion of the law ministry or the attorney general on the matter, Badal said that bureaucrats in the committee did not have the authority to judge the observations of council members.
While seeking an opinion of the law ministry or the attorney general on the matter, Badal said that bureaucrats in the committee did not have the authority to judge the observations of council members.