Budget 2024: Sitharaman’s thank you for Bihar and Andhra Pradesh

Nobody can do it better than Nirmala Sitharaman when dealing with jeering. The special focus that the two states - Bihar and Andhra Pradesh - have got in her Budget proposal attracted voices from the Opposition seeking similar offerings for their states too. But, the jabs did not interrupt the Union Finance Minister’s flow as she went on with her speech extending a helping hand to the two alliance partners - JD(U) in Bihar and TDP - JanaSena in Andhra Pradesh along with BJP.

the Budget also talks about supporting the development of road connectivity projects: Patna-Purnea Expressway, Bodh Gaya, Nalanda and more

Sitharaman’s offering to the two States started with her proposal for “Purvodaya” - all-around development of the eastern region of the country covering Bihar, Jharkhand, West Bengal, Odisha, and Andhra Pradesh. Not stopping there, she added “On the Amritsar Kolkata Industrial Corridor, we will support development of an industrial node at Gaya. This corridor will catalyse industrial development of the eastern region...This model shall showcase ‘Vikas Bhi, Virasat Bhi’ in our growth trajectory.” 

For Bihar, the Budget also talks about supporting the development of road connectivity projects: Patna-Purnea Expressway, Buxar-Bhagalpur Expressway,  Bodh Gaya, Rajgir, Vaishali and Darbhanga spurs, and additional 2-lane bridge over the river Ganga at Buxar at a total cost of ₹26,000 crore. Power projects include the setting up of a new 2,400 MW power plant at Pirpainti for ₹21,400 crore, besides new airports, medical colleges and sports infrastructure in Bihar.  

An additional allocation to support capital investments will be provided, Sitharaman had said. She added, “The requests of the Bihar Government for external assistance from multilateral development banks will be expedited”. 

Sole sunray in the South

For Andhra Pradesh, Sitharaman said that the Centre has made concerted efforts to fulfill the commitments in the Andhra Pradesh Reorganisation Act. Acknowledging the state’s need for capital, she said special financial support through multilateral development agencies will be facilitated.

The Aerial view of Amaravathi in Guntur district in Andhra Pradesh. | Photo Credit: RAO GN

“In the current financial year ₹15,000 crore will be arranged, with additional amounts in future years,” she said adding that the Centre was fully committed to financing and working towards the early completion of the Polavaram Irrigation Project. For promoting industrial development, funds will be provided for essential infrastructure such as water, power, railways, and roads in the Kopparthy node on the Vishakhapatnam-Chennai Industrial Corridor and the Orvakal node on Hyderabad-Bengaluru Industrial Corridor. An additional allocation will be provided this year towards capital investment for economic growth, she said adding, “Grants for backward regions of Rayalaseema, Prakasam and North Coastal Andhra, as stated in the Act, will also be provided.”

Andhra Pradesh saw the offerings as a victory of sorts, with Chandrababu Naidu tweeting “...This support from the Centre will go a long way towards rebuilding Andhra Pradesh. I congratulate you on the presentation of this progressive and confidence-boosting budget. #APBackOnTrack”

Bihar CM Nitish Kumar was quoted as saying, “...I have continuously spoken for this (special status), I told them as well (NDA). I told them to give us either a special status or a special package...As a follow-up, they have announced aid for a lot of things...We were speaking of special status and a lot of people said that the provision for special status has been done away with much earlier. So, instead of that, aid should be given for helping Bihar. They have now started it...”