New Delhi March 7: (IPR) The Hon’ble Chief Minister Shri Prem Singh Tamang called on Shri N.K Singh, Chairman of the 15th Finance Commission, at the national capital today.
During the call on the Hon’ble Chief Minister Shri Prem Singh Tamang apprised Shri N. K Singh regarding Sikkim’s dependency on transfer of funds from the Union and despite the relatively higher capita income the tax base of the State is very low as the bulk of the GSDP of the State which is derived from manufacturing and power generation does not result in a corresponding increase in local consumption. More than three fourth of revenue receipts of the State comes by way of tax transfers from the divisible pool and from various grants from the Central Government.
The Hon’ble Chief Minister’ informed the Chairman that Sikkim has a mountainous landscape and the difficult terrain which causes difficulty in carrying out developmental works.
He also mentioned the uncertainty in the resource flows from the center and at times back loading of these transfers near the end of the year creates financial constraints for the state.
The Hon’ble Chief Minister requested support and cooperation in the state’s debt redemption which would be highly appreciated.
Keeping this in mind the Hon’ble Chief Minister requested for State Specific Grants which he felt it necessary to provide additional resources for certain schemes which the state considers important.
During the call on the Hon’ble Chief Minister also submitted a list of state-specific demands.
After patience hearing to the demands placed by the Hon’ble Chief Minister, Chairman Shri N.K Singh assured full support and cooperation from his end.
The Hon’ble Chief Minister Shri Prem Singh Tamang was accompanied by Addl Chief Secretary Shri V B Pathak and the Secretary to Hon’ble Chief Minister Shri S D Dhakal.