Smt. Nirmala Sitharaman, Union Minister for Finance and Corporate Affairs, chaired the pre-budget consultations with the Finance Ministers of States and Union Territories (with Legislature) today in New Delhi. The discussions are part of the preparatory process for the Union Budget for the fiscal year 2024-25. The budget is expected in the 3rd week of July as the monsoon session starts.
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The Finance Secretary opened the session by welcoming all participants. A significant portion of the discussion revolved around the Government of India’s ‘Scheme for Special Assistance to States for Capital Investment’.
Many Ministers praised the scheme and suggested areas for improvement. Additionally, several participants offered valuable suggestions for inclusion in the upcoming Union Budget, alongside specific requests pertaining to their states.
In her remarks, Smt. Sitharaman stated the Union Government’s ongoing support to the States through mechanisms such as timely tax devolution, Finance Commission grants, and the provision of GST Compensation arrears.
She highlighted that the ‘Scheme for Special Assistance to States for Capital Investment’ includes mostly untied loans, with a portion linked to the completion of citizen-centric reforms and specific capital projects. She encouraged the States to take full advantage of these loans by meeting the necessary criteria.
Smt. Sitharaman expressed her gratitude to all delegates for their constructive inputs and suggestions. She assured that their contributions would be carefully considered during the drafting of the Union Budget for 2024-25.
The meeting was attended by Union Minister of State for Finance Shri Pankaj Chaudhary, Chief Ministers from Goa, Meghalaya, Mizoram, Nagaland, and Sikkim, Deputy Chief Ministers from Bihar, Madhya Pradesh, Odisha, Rajasthan, and Telangana, as well as Finance Ministers and other senior officials from various States and Union Territories.
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