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Centre`s hands tied to give extra money to states: Pranab

Finance Minister Pranab Mukherjee on Sunday said the Centre`s hands are tied to provide extra money to states as petro products and food need massive subsidy.



Khargram (WB): Amid West Bengal`s sustained demand for a special financial package, Finance Minister Pranab Mukherjee on Sunday said the Centre`s hands are tied to provide extra money to states as petro products and food need massive subsidy.

"We (the Centre) have to provide huge subsidy for petro products and food and therefore our hands are tied when it comes to providing extra money to the states," he said at a meeting of Congress workers here.

Mukherjee said the unrest in Syria and Libya had caused the increase in prices of petro products and fertilisers. "Potash was brought from these two countries but has now stopped due to political unrest there."

He said the UPA government is committed to improving the country`s socio-economic infrastructure and is taking steps in the direction. However, there are delays as Congress has to depend on allies and there are differences of opinion at times.

Referring to bad condition of rural roads, he said Prime Minister`s Gram Sadak Yojana does not provide for money for maintenance and advised MLAS to inform the matter with the state government, which would in turn take up the matter with the Centre.

PTI

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