Planning Board suggests austerity measurestext_fields
Thiruvananthapuram: The state Planning Board has suggested to the government another round of austerity measures and plan-fund cut for the second straight year, citing looming financial crisis, following the back-to-back flood.
According to reports, the board has suggested to cut plan fund expenditure by around 45 per cent. The decision is likely to imact a slew of big-ticket projects announced in the last budget as part of rebuilding the state following last year's flood.
Development projects related to roads network, transport, agriculture, tourism and welfare projects are expected to affect.
All the departments will be directed to re-prioritse their projects and ensure the projects are executed by strictly adhering to the norms.
Though the Finance Department cites the second flood as the reason for the plan fund-cut, reliable sources hinted that there has been an understanding to implement 35 per cent cut after the financial situation worsened.
The state government had executed a 20 per cent plan-fund cut for various departments in the aftermath of the devastating flood, last year.