Plan Panel approves Rs 34,000 crore plan size for Bihar

The Planning Commission today approved Rs 34,000 crore annual plan size for Bihar in the current fiscal, up 21.4 per cent from a year ago.

Updated: May 15, 2013, 20:39 PM IST

New Delhi: The Planning Commission today approved Rs 34,000 crore annual plan size for Bihar in the current fiscal, up 21.4 per cent from a year ago.

The plan size for the state was decided here in a meeting between Planning Commission Deputy Chairman Montek Singh Ahluwalia and State Chief Minister Nitish Kumar.

"Bihar`s performance in the 11th plan was very good. It is a low income state, but has a very high growth rate...We have reviewed all the different sectors of the economy. We agreed on an annual size of Rs 34,000 crore for the year 2013-14, that is an increase of about 21.4 per cent," Ahluwalia told reporters after the meeting.

He said the chief minister raised a number of issues which the Planning Commission would like to pursue in the matter of expediting release of money for different schemes from the Centre.

"We have promised that we will do what we can in all these matters," he said.
Nitish Kumar said the state was happy to accept the annual plan size.

"...Overall the proposal of Rs 34,000 crore has been accepted by the Planning Commission. About 45 per cent is comprised of state`s own resources, 27 per cent of the plan size will funded through borrowing. A little over 25 per cent will be from Centre, this includes BRGF (Backward Regions Grant Fund) and central assistance," Kumar said.

Ahluwalia also commended the state`s plan for monitoring human development on the basis of 20 monitorable indicators, and said other states should also follow this model.

"Special programme of monitoring human development is very commendable. In the 12th Plan (2012-17) we have identified 25 identifiable indicators and we have recommended all the states that they should construct similar indicators and monitor them at the state level."

On according special status to backward states including Bihar, Ahluwalia said the committee constituted by the central government today will submit its report in about two months and on the basis of that the Planning Commission will take up its decision.

"Seeing this committee`s report we would be able to think which state is backward and on which criterion we should identify it and what should be done for this so that the backward states get special attention," he said.

About special package of Rs 12,000 crore given to the state for the 12th Plan by the Centre, he said the Planning Commission has allotted Rs 2,500 crore for the current fiscal (2013-14).
Kumar said the state will use the special package of Rs 12,000 crore mainly for improving rural roads and transmission and distribution of energy.
"...We are committed that villages with population up to 250 people should have all weather road access. For that we need a lot of money and we will use the special assistance from Rs 12,000 crore," he said.