Chennai, Jan. 19 -- The Tamil Nadu (TN) government has urged the Union Finance Minister Nirmala Sitharaman to allow all state governments to borrow up to 5 per cent of Gross Domestic Product (GDP) in 2021-22.
Reportedly, States Deputy Chief Minister O Panneerselvam, who also holds the finance portfolio, on Monday put forth a slew of demands before the Centre, while preparing the 2021-22 State Budget.
The other demands include no abrupt fiscal correction during 2021-22, discussions on continuance of the compensation mechanism and devolving further taxation powers on States, permission and fund allocation for water resource augmentation projects, early disbursal of pending dues to the State, etc.
Addressing the pre-budget meeting chaire...