New Delhi, May 26 (IANS). Kerala Chief Minister V.D. Satheesan made his first official visit to New Delhi on Tuesday after assuming charge. During this, he met Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman and discussed in detail the financial condition of the state, pending projects and roadmap for future development.
Addressing the media after the meetings, V.D. Satheesan said the Central government was briefed about Kerala’s priorities, ambitious projects and support required for long-term reconstruction plans.
He said that Kerala is going through a serious financial crisis, but did not elaborate on the issue. He informed that the government’s ‘white paper’ on state finances will be released on June 1.
He said that the state government has started the process of preparing this document. It is expected to present the actual financial position inherited by the new Congress-led UDF government.
V.D. Satheesan said the state will first include its major infrastructure and development projects in the upcoming state budget and later formally raise them with the central government.
He also demanded the Central Government to provide greater flexibility in borrowing by the States and requested its intervention to ease the restrictions hampering Kerala’s mobilization of financial resources.
“We have informed the Central government about our vision of building a ‘new Kerala’,” the Chief Minister said. “Soon, instructions will be given to all departments to conduct a comprehensive review of the outstanding amount received from the Center and the status of utilization of funds received so far,” Satheesan said.
Regarding the controversial ‘PM Shri’ scheme agreement signed by the previous Left government, V.D. Satheesan said that the new government is reviewing the matter.
The Chief Minister also mentioned the suspension of five policemen associated with former Chief Minister Pinarayi Vijayan. This suspension was done in the case of alleged attack on Youth Congress workers during the ‘Nav Kerala Yatra’.
He said the special investigation team has submitted its report and the first phase of action has already begun. Further action will be taken if necessary.
V.D. Satheesan said the Kerala Infrastructure Investment Fund Board meeting is expected to be held soon. The state government will decide further strategy after reviewing its report.
Referring to the rising global tensions in West Asia, the Chief Minister warned that rising oil prices and Kerala’s dependence on remittances from Gulf countries could have a serious impact on the state’s economy and further increase inflation. He said that inflation in the country is already very high.
“All these concerns were raised before the Centre,” Satheesan said. He also said that it was a courtesy call and future meetings would focus on specific demands and proposals. Satheesan is likely to meet Union Home Minister Amit Shah on Wednesday.
–IANS
SHK/VC