New Delhi: Centre urged to release grant of 5,000 cr for local bodies

New Delhi: Finance Minister Buggana Rajendranath Reddy met Union Finance Minister Nirmala Sithraman here on Friday and discussed about the State's financial status.

Speaking to the media later, Buggana said that Andhra Pradesh government urged the Centre to immediately release the grant of Rs 5,000 crore which has to be given to local bodies. He also noted that as the Centre did not provide the grant, its impact has fallen on the State treasury.

He said the State government was moving ahead with the process of completing the Polavaram Project. He pointed out that the Centre should provide a reimbursement to the tune of Rs 3,000 crore spent on the project by AP government.

Later in the day, Rajendranath met Union Minister of Jal Shakti Gajendra Singh Shekhawat has sought his cooperation in the setting up water grid projects in several districts in the State.

He also discussed issues related to agriculture, irrigation and drinking water with experts in NITI Aayog during the meeting. Speaking about the clashes in the State, he said minor clashes were natural during the local body elections and pointing out such incidents was not correct. Ruling parties have some advantage in local body elections, he opined. He said State's revenue growth stood at 8 per cent. The impact of the economic downturn was also felt in the State, and he said it was inappropriate to say that the funds was misused for welfare schemes.

He criticised the previous TDP government and said it will take another three years to repay the loans taken by the previous government. The State's financial situation was not good because of the debts taken by the previous government, he said.

He said Nirmala Sitharaman responded positively to the State's request for funding the Polavaram project.