Has Himachal CM Sought Liberal Grants from Nirmala Sitharaman?
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Synopsis
In a crucial meeting in New Delhi, Himachal Pradesh CM Sukhvinder Sukhu urged Union Finance Minister Nirmala Sitharaman for increased financial assistance. Highlighting the state's dire financial situation, he called for immediate support to recover from losses due to natural disasters and reductions in grants.
Key Takeaways
- CM Sukhvinder Sukhu calls for increased financial support from the central government.
- A 2 percent increase in the borrowing limit is requested.
- The state's revenue deficit grants have declined significantly.
- Natural disasters have caused losses of Rs 18,000 crore.
- Union Finance Minister Nirmala Sitharaman assures sympathetic consideration of the state's demands.
New Delhi, Oct 29 (NationPress) The Chief Minister of Himachal Pradesh, Sukhvinder Sukhu, met with Union Finance Minister Nirmala Sitharaman on Wednesday in New Delhi, urging her to take a more generous approach in providing financial support and grants to the state.
Given the challenging financial climate of Himachal Pradesh, CM Sukhu requested a 2 percent increase in the additional borrowing limit for the remaining duration of this fiscal year.
He emphasized that, despite the state's efforts to boost revenue, Himachal Pradesh's financial stability has been significantly hampered by consistent cuts to revenue deficit grants and substantial losses from natural disasters over the past three years.
CM Sukhu pointed out the drastic decline in the state's revenue deficit grant, which has plummeted from Rs 10,249 crore in 2020-21 to Rs 3,257 crore in 2025-26 during the period of the 15th Finance Commission.
He also reported that the state has suffered losses of approximately Rs 18,000 crore due to natural calamities over the last three years, leading to the unfortunate demise of 1,321 individuals and extensive damage to resources.
The Chief Minister noted that the recent rationalization of Goods and Services Tax (GST) rates has negatively impacted the state's financial situation, primarily due to a diminished tax base.
Recognizing the seriousness of the state's plight, he reiterated the necessity for sufficient and liberal financial assistance. CM Sukhu also briefed the Finance Minister on the initiatives being undertaken by the state government to enhance its financial standing despite limited resources.
The Union Finance Minister responded positively, assuring CM Sukhu that the state’s requests would be met with sympathy. She also confirmed that additional support would be provided under Special Central Assistance and that the state would be favored for extra approvals, particularly for health sector projects.
Among the attendees at the meeting was Rajni Patil, Rajya Sabha MP and state Congress in-charge.
Point of View
The meeting between CM Sukhu and Minister Sitharaman highlights essential concerns regarding state funding and disaster recovery. As Himachal Pradesh navigates its financial challenges, a collaborative approach between the state and central government is crucial for sustainable development and recovery.
NationPress
29/10/2025
Frequently Asked Questions
What financial assistance did CM Sukhu request?
CM Sukhu requested a liberal approach to financial assistance and an increase in the borrowing limit by 2 percent.
How has the financial health of Himachal Pradesh been affected?
The state's financial health has been adversely impacted by consistent cuts to revenue deficit grants and significant losses from natural disasters.
What is the trend in revenue deficit grants for Himachal Pradesh?
Revenue deficit grants have decreased significantly from Rs 10,249 crore in 2020-21 to Rs 3,257 crore in 2025-26.
What assurance did Nirmala Sitharaman give to CM Sukhu?
She assured that the state's requests would be considered sympathetically and that additional assistance would be provided under Special Central Assistance.
Who else was present at the meeting?
Rajni Patil, Rajya Sabha MP and state Congress in-charge, was among those present at the meeting.
