Poor utilisation of backward area fund upsets Andhra CM
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Last Updated: Tuesday, January 26, 2010, 00:22
Hyderabad: Despite liberal grants from the union government, Andhra Pradesh has failed to spend money on rural development works under the Backward Regions Grant Fund (BRGF).

The state was also not able to fully utilise funds granted under the 12th Finance Commission with the unspent balance touching Rs 301.49 crore between 2005-06 and 2009-10 financial years.

Chief Minister K Rosaiah was left red-faced when it came to light during a high-level review meeting here today that more than Rs 230.61 crore out of the Rs 350 crore sanctioned to the state under the BRGF remained unspent in the 2009-10 financial year.

"We are not able to spend the BRGF properly. Our laxity is very clear. The works to be taken up under the scheme are varied. When funds are available, why can't we spend them on useful works? We have to put the works on fast track and make use of the last rupee before March 31,” a press release from the Chief Minister’s Office quoted Rosaiah as saying.

The Chief Minister also expressed displeasure over the non-utilisation of the 12th Finance Commission grants.

In 2008-09 too, the state could spend only 86.01 per cent of the total grant under BRGF while in 2007-08 97.36 per cent of funds were utilised.


First Published: Tuesday, January 26, 2010, 00:22

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