Bhubaneswar: Odisha is expected to receive RS 374 Crore under the central special assistance scheme for the current financial year.
This number is intended for capital expenditure (investment in infrastructure) to assist in high economic growth.
The center has launched a scheme in the financial year of 2020-21 where financial assistance is given to the state government in the form of 50-year-free interest loans.
This center has allocated Rs 12,000 Crore under the scheme where Odisha has received around RS 472 Crore.
Four main engineering departments of state and urban developments, Panciayati Raj and drinking water, water resources and works – have received a grant last year.
Nearly Rs 10,000 Crore has been intended under a special assistance scheme for various countries in the fiscal year 2021-22.
This amount has been proportionally allocated with the state part of the Central Tax according to the recommendation of the 15th Finance Commission.
To use himself from funds, the state government has decided to hold a project identification meeting immediately under the leadership of the Development Commissioner of PK Jena to identify infrastructure projects worth RS 374 Crore and to submit a list of projects to the Union Ministry of Finance which released the grant under the scheme , said an official.
“Because funds are provided in the form of 50-year-free interest loans, it is like a central grant.
Instead of borrowing at a high interest rate to invest in infrastructure projects, the department can identify projects that can be completed in March 2022 to take advantage of assistance based on this scheme,” said a finance department official.