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Plan commission okays 20% jump in state’s annual outlay

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The Indian Express                19.07.2013

Plan commission okays 20% jump in state’s annual outlay

The Planning Commission today approved a 20 per cent hike in the Uttar Pradesh's Annual Plan expenditure and fixed it at Rs 69,200 crore for the current fiscal.

"The Plan size has been agreed at Rs 69,200 crore, which includes the central assistance to the State Plan of about Rs11,225 crore. In addition, Rs 18,000 crore is likely to flow from the Centre to UP through various Centre-sponsored schemes. Thus, the Plan funding from the Centre to UP from all sources is expected to be over Rs 30,000 crore during 2013-14," said a communique issued by the Planning Commission after the meeting between UP Chief Minister Akhilesh Yadav and Planning Commission's deputy chairman Montek Singh Ahluwalia.

While appreciating the state's performance in social sectors, the Planning Commission today suggested the minister to use the PPP route for state government's plan to connect all districts with four-lane roads.

"Regarding the state government's proposal to connect all district headquarters with four-lane roads and construct 300 bridges and 100 road overbridges (ROB) in the state, it is suggested that the state may use PPP mode for these projects so that it could benefit from the Viability Gap Funding Scheme," the Commission said after the meeting.

Akhilesh's attention was also drawn to the "declining" share of manufacturing sector/industry in the Gross State Domestic Product and the Commission was learnt to have suggested the need to incentivise private sector investment "to revive the industrial sector in the state".

Akhilesh, in this context, was learnt to have highlighted the proposed new industrial policy in the state aimed to create a conducive atmosphere for investors in the state.

He is learnt to have said that the state would focus on economic infrastructure and earmark 20 per cent of the outlay for this sector.