No Special Package Announcement Today?

The much talked about Special Development Package may not happen today, if the buzz in the political circles is to be believed. There is a deadlock between the state and central governments on various issues of the package. The state government is not budging to center’s offer while Center is keen on making the announcement along with the Chief Minister.

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We are told that the state government has clarified that it can not take back the Special Status demand. Center is keen on giving the Special Railway Zone with Vijayawada as the Head Quarter while the state government wants it with Vishakapatnam as HQ as it is the prime demand of Uttarandhra people for decades.

On the other side, while the state is putting the first year Revenue deficit up to more than 16000 Crore, Center is keen on giving only up to 7000 Crore. The state is asking the center to clarify how the center will take the major share of various central schemes and externally funded projects without according the Special Status.

Also, the center has clarified that it can not give Special Industrial Incentives to the state due to objections from other states and the introduction of GST next year. The center is offering a special fund with paltry 500 Crore with which the state should offer the incentives itself. The state government feels that this fund will be no where near what the incentives will be offered under Special Status. So there are rumours that the announcement may be put off until the deadlock is resolved.