Chennai: Puducherry Chief Minister Rangasamy met Prime Minister Narendra Modi on Tuesday and requested to sanction additional Central assistance of Rs 2,000 crore in New Delhi on Tuesday. The Puducherry CM also submitted a memorandum to the PM and requested to sanction the sum before the budget session.
This was also the first time Rangasamy met PM after the AINRC-BJP government assumed office in May last year.
According to The Hindu, Rangasamy said, the revenue collection of Puducherry came down heavily after the introduction of Goods and Services Tax (GST). Also, the tax collection was reduced since the region was not based on consumption.
He said, the union territory will be short of Rs 2,000 crore even to reach the Revised Estimate figures of 2021-2022 for the current year if the Centre does not extend GST compensation.
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The assistance set in the Union Budget for 2022-23 was Rs 1,724 and it was nearly Rs 150 crore less than the previous allocation, he pointed out.
Rangasamy also mentioned about the commitment of Puducherry towards paying arrears after the implementation of 7th pay commission.
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Rangasamy also met Union Finance Minister Nirmala Sitharaman and Union Minister for Health Mansuk Mandaviya. While meeting Nirmala Sitharaman, he brought to her notice the issue of allocating additional assistance and to Mansuk Mandaviya the CM requested to provide funds for upgrading Indira Gandhi Medical College and Research Institute to a university and a multi-specialty hospital. He also requested permission for setting up a medical college in Karaikal.