Arunachal CM praises ‘six-tier’ budget, cites drop in funds amid 16th Finance Commission changes

Arunachal Chief Minister Pema Khandu on March 11, praised the “six-tier” Budget presented by Deputy Chief Minister-cum-Finance Minister Chowna Mein, while mentioning that the state has witnessed a decline in expected funds due to changes linked to the upcoming 16th Finance Commission of India.

 

Speaking to the media in Itanagar, the chief minister said that the Budget for the current fiscal year is around 8 per cent lower compared to the previous financial year. He added that the share from the Centre has seen a 17 per cent drop, largely due to changes in the tax devolution framework expected under the new Finance Commission, particularly affecting smaller states.

 

Khandu said he has already spoken to Nirmala Sitharaman regarding the issue and raised concerns about the impact on states like Arunachal Pradesh.

 

The chief minister also pointed out that Arunachal Pradesh has limited state-owned resources, which affects the state’s internal revenue generation. He said the government will now focus on strengthening its own resources and improving revenue collection.

 

Khandu further stated that the Budget was prepared after consultations with people and aims to address multiple sectors of development.

 

“We have prepared this Budget keeping in mind the welfare of people and the development of all sectors. I am hopeful that the people of Arunachal Pradesh will benefit from it in the coming years,” he said.

 

The Arunachal Pradesh Legislative Assembly is expected to pass the Budget later today after detailed discussions.