Pre-Budget Meeting: FM Nirmala Sitharaman Engages with States and UTs in Rajasthan's Jaisalmer

Union Finance Minister Nirmala Sitharaman chaired a pre-budget consultation with Finance Ministers from States and Union Territories (with Legislature) in Jaisalmer, Rajasthan, on December 20, 2024. Participants shared key suggestions for consideration in the Union Budget for FY 2025-26.

The central finance minister noted that tax buoyancy and efficiency have enabled the Centre to devolve more funds to States under the 15th Finance Commission in 45 months than during the 60 months of the 14th Finance Commission period. 

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She also stated the success of the Scheme for Special Assistance to States for Capital Investment (SASCI), introduced in Budget 2020-21, which has been instrumental in building critical capital assets across States.

During the meeting, the minister has stated that for FY 2024-25, the Centre has allocated an additional ₹30,000 crore as untied funds under SASCI, allowing States flexibility in using these resources for capital expenditure. 

Mrs. Sitharaman also announced a special provision under SASCI for States affected by severe natural disasters, enabling them to receive up to 50% of their untied fund allocation for rebuilding damaged infrastructure, in addition to support from the National Disaster Response and Mitigation Fund (NDRMF).

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The meeting was attended by Union Minister of State for Finance Pankaj Chaudhary, Chief Ministers of Goa, Haryana, Jammu and Kashmir, Meghalaya, and Odisha, along with Deputy Chief Ministers, Finance Ministers, and senior officials from both state and central governments. 

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