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This is an archive article published on February 21, 2004

Fund cut will send wrong signal: NEC

Members of the North Eastern Council (NEC), who met here today, said that the 40 per cent cut in the budget by the Central Government would ...

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Members of the North Eastern Council (NEC), who met here today, said that the 40 per cent cut in the budget by the Central Government would send a negative signal to the people of the region.

Most of the members felt that the Centre’s move to slash the Council’s outlay from Rs 500 crore to Rs 395 crore would slow down development projects in the region.

After the conclusion of the first session, Assam Chief Minister Tarun Gogoi said that the cut in funds proved the ‘‘Central Government’s indifference to the region’s development’’. He also said that all the chief ministers of the region were unanimous in that the move was unwarranted. Besides the cut in the Council’s plan outlay, Gogoi said, the HRD ministry has written to the Finance Ministry, seeking exemption from the 10 per cent budgetary allocation for the N-E.

Manipur Governor Arvind Dave said that the drastic cut in the NEC’s outlay was in disregard to the proposal for enhancement of the Council’s budget which is required to speed up infrastructural development in the region.

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