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Govt plans Rs 5,000 cr as incentives for states to meet central schemes

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  • However, given the resource constraint on account of the new flagship programmes of the UPA government coupled with the stringent FRBM conditions, the Planning Commission has drawn out a plan to weed out schemes that have outlived their value.

    While some such schemes are still important for states, it is for this reason, the Planning Commission has drawn out a list of schemes that the states can themselves take on but need close monitoring.

    In order to supplement the efforts of states, the corpus of Rs 5,000 crore would be important such that states have the incentive to ensure their implementation.

    According to figures, the total expenditure on the 155 central schemes works out to be around Rs 72000 crore crore, while the spending on 52 schemes that are going to be continued works out to be around Rs 64,000 crore.

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