Siddaramaiah Seeks 9-State Strategy Session On Central Funds Share
NDTV
Siddaramaiah argues that higher income states are being pensalised for their economic performance. The current system undermines cooperative federalism and threatens financial autonomy of progressive states, he said.
Karnataka Chief Minister Siddaramaiah has written to the Chief Ministers of eight states to get together for a strategy session to negotiate a better financial deal for states that contribute more to the Central coffers. Besides the four southern states of Kerala, Tamil Nadu, Andhra Pradesh and Telangana, the list also includes Maharashtra, Gujarat, Haryana and Punjab. Mr Siddaramaiah argues that higher income states are being pensalised for their economic performance. The current system undermines cooperative federalism and threatens financial autonomy of progressive states, he said.
His Kerala counterpart Pinarayi Vijayan has said they must stand together and fight, arguing that fiscal federalism is in threat.
The letter comes ahead of the 16th Finance Commission's move to finalise criterion for devolution of Central funds. Already, finance ministers of Telangana, Karnataka, Kerala, Tamil Nadu and Punjab have met in Thiruvananthapuram to build consensus on their recommendations to the Finance Commission.
