The size of the annual plan outlay of Orissa for 2009-10 has been fixed at Rs 9500 crore. This is 26.66 percent higher than Rs 7500 crore outlay for the current fiscal.
The annual plan outlay was finalised after the discussion of state finance minister, Prafulla Chandra Ghadai with Deputy Chairman of the Planning Commission, Montek Singh Ahluwalia in New Delhi today.
The state plan focuses on the development of agriculture and allied activities, creation of irrigation facilities, urban development, education, health, poverty alleviation and increasing employment opportunities.
During the discussion Orissa demanded a special package of Rs 1500 crore to combat the recession effect. Though the chief minister was supposed to hold discussion with the Planning Commission, he could not attend the meeting due to the death of his mother in New Delhi.
It may be noted that the state plan size has been increasing from year to year since last 4 years. While the state plan outlay was Rs 2500 crore in 2004-05, it increased to Rs 3000 crore in 2005-06.
Further, the size of the state plan increased to Rs 3600 crore in 2006-07 and to Rs 5520 crore in 2007-08. For 2008-09, the original plan outlay was fixed at Rs 7100 crore which was later revised to Rs 7500 crore with the approval of the Planning Commission. The state government had sought a plan outlay of Rs 9500 crore for the next fiscal.
Speaking on the occasion, the finance minister said, Orissa has been striving to achieve a sustainable and inclusive higher growth. Due to the consistent effort of the state government, the state could achieve 9.15 percent growth during 10th plan period against the target of 6.20 percent.
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Stating that the entire world is now in the grip of economic recession, he said, Orissa is no exception to it. Besides, the introduction of the revised pay scale and pension for the employees of the state government on the basis of the recommendation of the 6th Pay Commission has put severe strain on the state finances.
In this backdrop, he demanded that Orissa should be given a special assistance package for 2009-10. Ghadai also urged the Planning Commission to relax the borrowing limit of the state from 3 percent to 5 percent of the Gross State Domestic Product.