Jaya cautions on fiscal incentives to neighbouring states

Chief minister and AIADMK supremo J Jayalalithaa promises co-operation to realise fruits of development for state

Tamil Nadu chief minister J Jayalalithaa today welcomed President Pranab Mukherjee’s address to the joint session of Parliament.

She praised the Modi-led government’s “co-operative federalism”, which according to her would restore the federal spirit that had been diluted during the previous decade or so.

However, she asked the Centre to “carefully” consider the implications of granting fiscal incentives, especially area-based tax exemptions taking into account the economic activity in the neighbouring states.

The President’s address had outlined the policy priorities of the new government “very eloquently and with clarity” and also steered clear of contentious and divisive issues and augurs well for the nation in the coming five years, added the chief minister.

The priority accorded to rural infrastructure was very appropriate and would ensure the effective utilisation of funds intended for rural employment generation, she added. According to her, the focus on increasing public and private investment in agriculture and water conservation is timely.

“There are some very progressive ideas on education, including breaking down the divide between formal education and skill development,” she said.

She summed up saying that the President’s address has raised expectations on the performance and delivery against the ambitious goals that the Government of India has set for itself.

“On my part, the Government of Tamil Nadu will co-operate with the Government of India to realise fully the fruits of development for the state,” said Jayalalithaa.

Ignores state-specific issues: CPI
Meanwhile, the Communist Party of India (CPI) said the President’s speech did not mention state-specific issues especially relating to the fishermen.

D Pandian, Tamil Nadu state secretary of CPI, said other major issues, including Cauvery, fate of Sethusamudaram project and others, were not mentioned.