NITI Aayog Governing Council Meet Updates: NITI Aayog Aims To Make India A $5 Trillion Economy As Soon As Possible

Prime Minister Narendra Modi is chairing the 5th meeting of the NITI Aayog Governing Council in Delhi today.

Prime Minister Narendra Modi chairs the fifth meeting of the Governing Council of NITI Aayog, in New Delhi (Source: PTI)

Watch The Press Conference Here

The goal of making India a $5 trillion economy by 2024 is “challenging, but achievable” with the concerted efforts of states, Prime Minister Narendra Modi said at the fifth meeting of NITI Aayog’s Governing Council on Saturday.

Modi urged that the states to recognise their “core competence”, and work towards raising gross domestic product targets right from the district level.

Naveen Patnaik Raises Special Category Issue

Odisha Chief Minister Naveen Patnaik raised the Special Category Status issue four days after pushing for it in view of the state’s vulnerability to natural calamities.

“As an interim measure, states hit by major natural calamities may be declared as Special Focus States and granted benefits of Special Category Status for a specific period,” the chief minister said. Patnaik had raised the same demand during a meeting with Modi on June 11.

Patnaik cited the instance of cyclone Fani that battered 14 districts, killed 64 people and caused a total loss of Rs 9,336.26 crore after making landfall at a wind speed of about 200 kmph near Puri on May 3.

With PTI inputs

In Pictures: 5th NITI Aayog Governing Council Meet

Madhya Pradesh CM Kamal Nath and Maharashtra CM Devendra Fadnavis. (Source: NITI Aayog)
PM Modi, NITI Aayog’s Rajiv Kumar, Defence Minister Rajnath Singh, Home Minister Amit Shah and Finance Minister Nirmala Sitharaman. (Source: NITI Aayog)
Assam Chief Minister Sarbananda Sonwal speaks. (Source: NITI Aayog)
PM Modi chairs the meeting. (Source: NITI Aayog)

To Review NDRF Guidelines: Amitabh Kant

States had asked government to review its guidelines for the National Disaster Relief Fund in which input subsidies are given. NITI Aayog will work with the home ministry and the agriculture ministry to revisit the guidelines.

Another request was for reviewing drip irrigation which will also be looked at, NITI Aayog Chief Executive Officer Amitabh Kant said.

Centre To State Devolution Has Doubled

Financial devolution from Centre to States has doubled to Rs 41 lakh crore in the last 4 years. “Even the devolution in centre-sponsored schemes has doubled. That is a big thing.”

Left Wing Extremism And J&K Situation Discussed

Kumar said that it was noted in the meeting that incidents of left wing extremism and disturbances in Jammu and Kashmir have reduced significantly.

“This is possible because of the increased shared intelligence among states. The Centre will stand by all states for this work. Its time to increase the facilitation of shared intelligence.”

$5 Trillion Economy - As Soon As Possible

PM Modi has suggested that all states should set a target for their own economic growth so that India can become a $5 trillion economy as soon as possible, Kumar said.

Exports will play the biggest role in this.
Rajiv Kumar, Vice Chairman, NITI Aayog

High-Level Task Force For Farm Distress

Prime Minister Narendra Modi has announced forming a high-level task force for structural reforms in agriculture. They will look into production and market for farm products, Rajiv Kumar said.

Rajiv Kumar On Meeting's Agenda

The agenda of the meeting involved rain water harvesting, drought and relief measures, farm sector transformation and security-related items, NITI Aayog Vice Chairman Rajiv Kumar said.

“It was nice to see all participants have a focussed discussion on these topics.”

NITI Aayog Failed Play Facilitator: Kerala Chief Minister

Kerala Chief Minister Pinarayi Vijayan said that NITI Aayog has not “played the much expected role of a facilitator” in the last four years and perhaps was not a substitute for the erstwhile Planning Commission.

Vijayan said that after doing away with the plans at the national level, states have lost the Gadgil formula and grants which they used to get as assistance earlier. Besides, states now have also to bear a higher share—40 percent instead of the earlier average 25 percent—in many centrally sponsored schemes, which result in shrinking fiscal space, he said.

He said transformation of the Planning Commission to NITI Aayog has adversely affected states like Kerala, which had lost a source of funding for its Five Year Plans. “I hope that my colleague Chief Ministers would agree with me that NITI Aayog in the present form has not played the much expected role of a facilitator in the last four years.”

He said the Centre has recently been spending on subjects in the State List, resulting in centralisation in design of welfare schemes, which by economic reasoning, could be effectively done by governments at the State and local level.

“For a strong nation, a strong Centre, strong states and vibrant local governments are essential pre-requisites,” he said adding the foremost aim to fulfill people’s aspirations was decentralisation of power to them as mandated in constitutional amendments.

With PTI inputs

Assam Chief Minister Seeks Enhanced Assistance For People Hit By Calamities

Assam Chief Minister Sarbananda Sonowal has sought enhanced assistance to the people affected by natural calamities like floods, which hit the state every year.

He stressed on the need for effective management of flood and erosion problems afflicting a large part of Assam every year, a state government release said.

Sonowal pointed out that the norms of relief and rehabilitation provided to the flood-affected people according to Disaster Relief Fund guidelines are low and sought its increase substantially.

He also raised key issues pertinent to the state’s development and underlined the future roadmap for state and central government’s partnership.

With PTI inputs

Taking Forward NITI Aayog's Mandate: Rajiv Kumar

NITI Aayog Vice Chairman Rajiv Kumar said that the governing council meeting today was taking forward the twin mandate of promoting cooperative federalism and providing key policy inputs to central and state governments.

Extend GST Compensation Beyond 2022: Karnataka CM

Karnataka Chief Minister HD Kumaraswamy has asked the Centre to extend GST compensation beyond five years, saying that the state will face “severe financial crunch” after the recompense period ends in 2022.

While implementing the GST, the Centre had assured the states to compensate them for loss of their revenue for five years till 2022.

“While the revenue gap is being bridged by the assured compensation till 2022, the state has limited scope to mobilise additional revenue thereafter,” Kumaraswamay said. It is evident that at the end of 2022-23, there would be a steep fall in revenues of the state as compared to the protected revenue of 2021-22 which would have accrued to the state due to the constitutionally guaranteed compensation, he added.

This would adversely impact developmental and other infrastructural projects implemented in the state as well as committed expenditure of the state government. Thus, in case this revenue gap is not bridged in the coming years despite all compliance efforts, adequate compensation, in the manner as envisaged in the Compensation Act, should be extended beyond 2022.
HD Kumaraswamy, Chief Minister, Karnataka

With PTI inputs

Three Chief Ministers Miss NITI Aayog Meet

Three chief ministers, including Mamata Banerjee and K Chandrashekhar Rao, did not attend the fifth meeting of the Governing Council of Niti Aayog chaired by Prime Minister Narendra Modi here Saturday.

Punjab Chief Minister Amarinder Singh could not attend the meeting due to health reasons, sources said, adding that the state is being represented by its Finance Minister Manpreet Badal. West Bengal Chief Minister Banerjee and her Telangana counterpart Rao had also skipped Modi’s swearing in ceremony on May 30.

Sources told PTI the Telangana Chief Minister was busy with preparations for the launch of his ambitious Rs 80,000 crore Kaleshwaram lift irrigation project that would end water woes in the state. The Telangana government is learnt to have not sent any representative to the meeting.

In a letter to Modi, the West Bengal Chief Minister had expressed her inability to attend the meeting, saying it is “fruitless” as the body has no financial powers to support state plans.

“Given the fact that the Niti Aayog has no financial powers and the power to support state plans it is fruitless for me to attend the meeting of a body that is bereft of any financial powers,” Banerjee had said in a letter to the prime minister.

Earlier too, Banerjee skipped meetings of the policy think-tank, expressing her displeasure over the dissolution of Planning Commission and creation of a new structure.

The meeting is being attended by all other chief ministers, administrators of Union Territories and the Governor of Jammu and Kashmir.

With PTI inputs

Modi Delivers Opening Remarks

The goal of making India a $5 trillion economy by 2024 is “challenging, but achievable” with the concerted efforts of states, Prime Minister Narendra Modi said at the fifth meeting of NITI Aayog’s Governing Council on Saturday.

Modi urged that the states to recognise their "core competence", and work towards raising gross domestic product targets right from the district level, according to a release by the Press Information Bureau. "Noting that the export sector is an important element in the progress of developing countries, he said both the Centre and the States should work towards growth in exports, in order to raise per capita incomes."

The meeting is being attended by all chief ministers, except West Bengal's Mamata Banerjee, Punjab’s Captain Amarinder Singh and Telangana's K Chandrashekhar Rao. Other senior ministers are also present.

Modi stressed that NITI Aayog has a key role to play in fulfilling the mantra of "Sabka Saath, Sabka Vikas, Sabka Vishwas".

Recalling the recent general elections as the world's largest democratic exercise, the prime minister said that it is now time for everyone to work for the development of India. He spoke of a collective fight against poverty, unemployment, drought, flood, pollution, corruption and violence.

Amid several parts of the country facing drought-like situation, Modi called for effective steps to tackle it by adopting 'per-drop, more-crop' strategy. He said that the newly created Jal Shakti Ministry will help provide an integrated approach to water and states can also integrate various efforts towards water conservation and management.

With PTI inputs

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