Kerala to approach Centre, loan alone not enough, will seek grant as well; no changes to Wayanad projects
THIRUVANANTHAPURAM: The Kerala government will request an extension of time for utilizing the Rs 529.50 crore central loan sanctioned for Wayanad reconstruction, which, as per current conditions, must be spent within one and a half months. Additionally, the state will again seek more funds as a central grant.
To address this, an emergency meeting will be held tomorrow, chaired by Finance Department Additional Chief Secretary Dr A Jayathilak, with principal secretaries from the relevant departments. Secretaries from Public Works, Revenue, Water Resources, and General Education departments, which are responsible for executing the reconstruction projects, will participate.
The ministers of the concerned departments will review the report prepared in the meeting the next day. Based on this, the Chief Minister will send a letter to the Centre. The state will also consider holding direct discussions with Union Ministers to apply further pressure.
The Centre has provided this loan for infrastructure development, which is expected to be completed within months. However, Kerala estimates that certain projects, including the township development, will require a year for completion. These projects will proceed as planned.
Funds should be utilised within one and a half months
- Though the loan is interest-free and has a 50-year repayment period, the condition that it must be spent within the current financial year poses a challenge.
- The meeting of principal secretaries will decide which construction projects can be completed within one and a half months.
- The remaining work will be assessed to determine how many more months are needed for completion, and an extension will be requested accordingly.
Requested financial assistance (in Crores)
- Housing Construction Rs 1113.25 crore
- Roads & Bridges 267.62 crore
- Agriculture 128.23 crore
- Disaster Mitigation 271.81 crore
- Healthcare 76.81 crore
- Schools & Other Infrastructure 363.31 crore
- Total 2221.03 crore
Disaster Relief Fund allocated to states State Amount Andhra Pradesh, Telangana 3448 crore Tripura 40 crore Assam 716 crore Maharashtra 1492 crore Bihar 655 crore Kerala 529.50 crore (Loan)