The Centre has rejected the claims of Andhra Pradesh that it is being deprived of central funds and it has charged the Chandrababu Naidu led TDP government with diverting allotted funds and doing nothing about building the capital city.
Releasing the Fact-sheet, the Central govt. said a total of Rs 1.72 lakh Cr had been extended to AP since June 2014 for rapid development owing to the revenue deficit in the division of united AP.
A sum of Rs 1.12 lakh Cr had been disbursed to AP under different heads. Road project works worth Rs 60,000 Cr were also allotted by the Ministry of Road Transport and Highways. The defence Ministry set up projects worth Rs 5,700 Cr and the Railways had released Rs 20,236 Cr for doubling of tracks.
The Commerce and Industry Ministry has allotted Rs 2,700 crore, of which Rs 1,900 Cr had already been disbursed. The HRD Ministry will spend Rs 7,000 Cr to set up Central institutes in AP.
Regarding the revenue deficit of Rs 16,000 Cr suffered by AP after the split, Rs 2,300 Cr was released for 2014-15 and a grant in aid of Rs 6,609 Cr. AP will get Rs 2,06,819 Cr in the next 5 years and Rs 29,734 Cr per annum as the 14th Finance Commission grant for the next 5 years.
The Centre accused the State govt. for diverting these funds for other purposes.