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Punjab’s Finance Minister Harpal Singh Cheema Outlines Vision and State Concerns at 16th Finance Commission Conclave

Jai Singh by Jai Singh
September 12, 2024
in Chandigarh, Nation, Punjab, Top Stories
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Punjab's Finance Minister Harpal Singh Cheema Outlines Vision and State Concerns at 16th Finance Commission Conclave

Punjab's Finance Minister Harpal Singh Cheema Outlines Vision and State Concerns at 16th Finance Commission Conclave

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Punjab Advocates for Greater Fiscal Autonomy and Equitable Resource Distribution at Finance Ministers’ Meet

Chandigarh/Thiruvananthapuram, September 12

Punjab Finance Minister, Advocate Harpal Singh Cheema on Thursday addressed the 16th Finance Commission Conclave of Finance Ministers at Thiruvananthapuram, Kerala, where he eloquently articulated the pressing concerns affecting states and succinctly outlined Punjab’s vision, aspirations, and expectations, setting the tone for a productive and insightful discourse

Delivering his address at the morning session of the Conclave, Punjab Finance Minister Harpal Singh Cheema began by extending his heartfelt appreciation to the Government of Kerala for graciously hosting the esteemed gathering and lauded the state’s visionary leadership. He then proceeded to share Punjab’s constructive engagement with the 16th Finance Commission, shedding light on pressing concerns such as the stark disparity between social and developmental expenditures, and the constrained fiscal autonomy resulting from the implementation of GST.

Finance Minister Cheema emphasized the imperative for the Commission to acknowledge and address the unique challenges faced by each state, while also advocating for a significant enhancement of vertical devolution from the current 41% of the divisible pool to a much higher share. Furthermore, he recommended the inclusion of cesses, surcharges and select non-tax revenues in the divisible pool to ensure a more equitable distribution of resources. Additionally, Cheema urged the Commission to develop a nuanced formula that allocates resources based on a state’s developmental performance and provides targeted support to underperforming states, thereby fostering a more inclusive and balanced growth trajectory.

Finance Minister Cheema said that the state has also made certain suggestions to make the Fiscal Responsibility and Budget Management (FRBM) Act more inclusive during the discussions with the Commission. He also underscored the critical need for robust disaster management, a resilient federal structure, and harmonious Centre-State relations. He passionately appealed to the Commission to revitalize and fortify the federal framework, guaranteeing that every state is an integral part of India’s growth narrative and that no region is relegated to the periphery of progress.

In his closing remarks, Finance Minister Haqrpal Singh Cheema reiterated the imperative for synergistic cooperation and collective advancement among states, underscoring that India’s true potential can only be unlocked when all regions progress in tandem, united in their pursuit of a brighter future.

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