West Bengal Chief Minister Mamata Banerjee on Monday called on Prime Minister Narendra Modi here and sought financial assistance for her debt-ridden state.
This was Banerjee's first meeting with the prime minister after he assumed office last May.
During the meeting, which was held in Parliament House, the chief minister briefed Modi about the financial difficulties her state was passing through.
"During the meeting, the chief minister asked for debt relief and relief from interest payments," an official statement issued here said.
After hearing Banerjee, Modi explained that he was a firm believer in cooperative federalism and as he has constantly been saying that "only strong states can make a strong India and therefore, states must be strengthened to meet development needs of their people", it said.
"West Bengal and Kolkata have to develop for their own sake, and for the benefit of the region. That is why we have the 'Act East' policy. The region has talented people and a lot of resources," the statement quoted Modi as saying.
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"It is with this in view that the central government has agreed to devolve 42 percent of the divisible pool of taxes to states for the next five years. This is unprecedented and a rise from 32 percent which is the current share. In addition, it has accepted other recommendations of the 14th Finance Commission relating to revenue deficit grants and other grants," it added.
Banerjee, soon after meeting Modi, told reporters that he gave her a "patient hearing" and assured that his government would look into the issue.
"The prime minister has assured me that the central government would look into the issue and see how Bengal can be helped," she said.
She held the previous regime responsible for financial mess in the state.