(Top) Nitish Kumar and Pranab Mukherjee

Feb. 15: Bihar chief minister Nitish Kumar submitted a long wishlist to Union finance minister Pranab Mukherjee when the two met in Delhi this morning.

Among the demands was an additional allotment of Rs 3,145.43 crore under the Backward Region Grant Fund (BRGF) for completing ongoing projects of state highways and rail-cum-road bridges in the state.

The 2011-12 fiscal is the closing year for the special plan under the fund.

The two leaders were expected to meet during Nitish’s last visit to the national capital. However, the meeting was cancelled because of Mukherjee’s preoccupation with other work.

The Bihar chief minister has also demanded a special annual assistance of Rs 4,000 crore during the 12th Plan period.

“As you are aware, our state government has been able to significantly increase the gross state domestic product growth rate between 2006-07 and 2009-10. The growth momentum has been sustained in 2010-11 despite it being the second successive drought year. The special assistance proved very useful in covering infrastructure gaps in power, road communication and irrigation,” Nitish said, stressing that both private and public investment must continue and stepped up for the growth of Bihar.

He pointed out that the per capita income in Bihar was still 37 per cent of the national average and, therefore, as long as private investment does not flow, the state government needs to focus on enhancing public investment.

The chief minister also reasserted the need for declaring Bihar a “special category state”.

He pointed out to the finance minister that the Bihar Assembly had passed a resolution to this effect.

He said the move would help attract private investment and reduce the burden of the state.

Nitish also pointed to the dwindling share of Bihar in the 13th Finance Commission grants and said that according to the Bihar Reorganisation Bill, 2000, his state has to receive from Jharkhand Rs 5030.71 crore as on March 31, 2010, in pension liabilities and another Rs 285.78 crore in state government guaranteed bonds from the new state, excluding the interest accrued.

“The decision of the Union home ministry needs to be expedited,” Nitish stressed.

The chief minister also stressed the need for increasing its borrowing limit. “In 2011-12, the ceiling for the borrowings was fixed at Rs 6,342 crore, which should be increased,” he said.

Nitish urged Mukherjee to direct banks to increase their lending in Bihar.

He said Bihar’s credit deposit ratio was way behind the national average, though deposits of the banks in the state had crossed Rs 1,00,000 crore.

He has also asked for funds for implementation of the Right to Education Act and reduction of centrally-sponsored schemes.