No special status category to Bihar: Chidambaram

Patna, June 21 (UNI) Union Finance Minister P Chidambaram today rejected the demands of Bihar Chief Minister Nitish Kumar for declaring Bihar as Special Category State and for sanctioning economical as well as developmental package, saying the state had sufficient fund.

Asked about the demand for according Special Category State to Bihar placed by Mr Kumar in the memorandum handed over to the Finance Minister at One, Anne Marg, Mr Chidambaram dismissed the demands and told newspersons here the state did not need any package.

He said Bihar had sufficient funds which, if utilised properly, will help in the development of the state. Mr Chidambaram said Bihar had problems in utilisation of money and added that he had tabled the data of two years showing fund utilisation problems in Bihar.

He further assured if the state utilised the money properly, the Centre would provide adequate financial help to it.

Mr Chidambaram said the Central government was trying to control the inflation which currently was at five per cent. The UPA government was also seriously trying to check the soaring prices of essentials, specially sugar, pulse, rice and other items.

Meanwhile, Mr Kumar told newspersons that Mr Chidambaram assured steps to bail out Bihar from financial problems. He said a memorandum was handed over to the FM with demands for settlement of the dues following bifurcation of the state, pushing up the CD ratio and according special category state to Bihar.

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