The NDA government on Wednesday announced a special financial package for the development of Andhra Pradesh in lieu of the special category status promised by the previous UPA government at the time of bifurcation of combined AP in June 2014. “Because of the constraints as per the 14th Finance Commission report, we might not be in a position to grant special category status to AP. However, we have decided to implement Special Assistance Measure, in such a way that it largely compensates the losses caused to the state for being denied the special category status. As the part of the special package, the Centre would bear the entire expenditure of the Externally Aided Projects, which would have been the case had the state been given the special category status. “All the benefits the state would have got through special category status would be extended in the form of Central assistance.

Source: Hindustan Times September 07, 2016 18:33 UTC