J&K asks Centre to release funds worth Rs 1,150 cr

Jammu and Kashmir (J&K) has sought the intervention of the Finance Minister P Chidambaram to ensure an early release of Rs 1,150 crore in central funds for the state.

The demand for the release of the Rs 1,150 crore, which includes a Plan assistance of Rs 400 crore and Rs 750 crore from the finance ministry, was made by Peoples Democratic Party chief and MP Mehbooba Mufti when she called on Chidambaram in New Delhi on yesterday. The funds will enable the state finalise this year's annual plan.

Mehbooba, who rushed to Srinagar yesterday in the wake of the grenade attack on tourists in the Pahalgam hill resort, today said she also sought a special assistance of Rs 300 crore this year and of Rs 200 crore for the next year to implement the Centre's decision to merge 50 per cent of the dearness allowance (DA) with employees' salaries.

She said she asked for an early decision on the matter so that mass development activities that had been taken up last year in the state do not suffer on account of inadequate funds.

The finance minister, she said, assured that he would look into the matter and decision in this regard would be taken on a priority basis.

The Jammu and Kashmir government also plans to approach the Centre and the Asian Development Bank (ADB) to fund two major projects for Kathua town""the integrated Kandi water supply scheme and a road project.