Manipur Chief Minister Yumnam Khemchand Singh on Thursday, 29 October 2026, met Union Finance Minister Nirmala Sitharaman in New Delhi to seek enhanced central financial assistance, citing revenue losses exceeding ₹1,200 crore in GST collections since the ethnic violence that erupted in the state on 3 May 2023. The meeting, held at Sitharaman's office in Kartavya Bhawan, centred on Manipur's deepening fiscal crisis and the state's need for immediate central support.

Key Demands Placed Before the Finance Minister

Chief Minister Khemchand Singh urged the Finance Minister to extend central support to help the state overcome its current financial difficulties. He also specifically requested additional funding under the Special Assistance to States for Capital Investment (SASCI) scheme, which provides interest-free loans to states for capital expenditure.

The Chief Minister also briefed Sitharaman on the progress of Externally Aided Projects (EAPs) in Manipur and the effective implementation of various Centrally Sponsored Schemes (CSS) being undertaken by the state government despite its constrained fiscal position.

Scale of Economic Damage from the Conflict

The ethnic violence that broke out on 3 May 2023 severely disrupted normal life, economic activity, and revenue generation across Manipur. According to the Chief Minister, the state recorded an estimated ₹1,200 crore decline in GST collections between 2023 and 2026 — a figure that has compounded pressure on routine government expenditure and development programmes.

The prolonged conflict has made external financial support critical for sustaining even basic governmental functions. Notably, Khemchand Singh highlighted that despite these constraints, the state government had maintained the timely payment of salaries and pensions to employees on the first working day of every month — a point he used to underline the administration's fiscal discipline.

Centre's Response

According to a senior official of the Chief Minister's Office (CMO) in Imphal, Finance Minister Sitharaman responded positively to the requests and assured the Chief Minister that the Centre would extend all possible assistance to improve Manipur's financial health. No specific commitment of funds was publicly announced following the meeting, however.

Broader Context and What Comes Next

This is not the first time Manipur has approached the Centre for special financial relief since the violence began. The state's fiscal stress reflects a wider challenge: conflict-affected states in India's northeast often face a structural revenue deficit that standard devolution formulas under the Finance Commission do not fully address.

The Centre's assurance of support is expected to translate into concrete allocations in the coming weeks, though the CMO official did not specify a timeline. With Manipur's development pipeline — including externally aided infrastructure projects — under strain, the pace of central disbursement will be closely watched by both the state government and affected communities.