Nitish Kumar seeks special financial arrangements for Bihar

PATNA: Bihar Chief Minister Nitish Kumar met Union Finance minister Arun Jaitley and sought special arrangements to compensate loss accruing to the state due to recommendations of the 14th Finance Commission and the central budget for 2015-16.

Kumar had a meeting with Jaitley late last evening in the National Capital in which he handed over a letter seeking special arrangements to compensate the loss of finance to the state immediately, an official statement said here today.

The Bihar Chief Minister drew Jaitley's attention that due to formula given by the 14th Finance Commission, the share of central taxes for Bihar would come down to 9.665 per cent from 10.9 per cent.

He said the Finance Commission has given primacy to area and natural forest but ignored indices like population density and state being landlocked that mark states like Bihar.

"Instead of encouraging Bihar initiative towards increasing its green cover the recommendations have ignored it," Kumar told the Union Finance minister.

The flood coming from Nepal every year which claims huge toll of human lives and properties also puts additional financial burden on Bihar, he said to drive home his point.

Besides, Bihar is backward from point of view of physical and social infrastructure where per capita income is less than 40 per cent of the national average, Kumar said.

During discussion, Kumar also reminded Jaitley about his promise in his budgetary speech to provide special financial assistance to Bihar on the lines of one given to Andhra Pradesh.

He also discussed the provision in the State Reorganisation Act 2000 regarding special fund to Bihar after bifuracation of Jharkhand from it.