The approval was made during the state planning board (SPB) meeting chaired by Chief Minister Nabam Tuki yesterday, official sources said today.
The higher allocation sends a strong message that the growth momentum was on and would be sustained, and even increased during this year, they added.
The total plan size for the state was approved at Rs 3,535
crore.
Tuki during the meeting highlighted the vision of his government and laid emphasis on formulating policies which bring direct benefit to the poor beneficiaries by providing them employment and enhancing their incomes.
Laying special focus on skill development and capacity building programmes, he asked all the departments to incorporate such programmes in their AOPs.
He identified agriculture, horticulture, education, health, tourism and employment generation as thrust areas for the state during the current fiscal.
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Tuki reiterated his commitment towards building mini-secretariat in all districts for accommodating all departments under a single roof.
Finance and Planning Minister Chowna Mein underlined the need for promoting income-generating activities like tea and rubber cultivation.
"There will be no dearth of funds for result-oriented programmes, it is our duty to ensure that each paisa is spent wisely and brings maximum benefit to all Arunachalis," Mein added.