Citing fund crunch, Gehlot seeks 1-lakh crore grant for states

Rajasthan Chief Minister Ashok Gehlot once again on Monday urged the Centre to release a one-time grant of Rs 1 lakh crore for all states, citing fund crunch in the wake of the coronavirus outbreak.

Shooting second letter to Prime Minister Narendra Modi in the past a few days, the chief minister said the financial situation of the states is deteriorating rapidly due to a huge decline in revenue.

"The government of India should announce an economic package, including a one-time grant of Rs 1 lakh crore for all states," he said.

The chief minister demanded that state governments should be provided an interest-free wage and means advance facility to ensure effective handling of the COVID-19 outbreak.

The Centre should consider giving wage subsidy as done in countries like Canada as workers in the unorganised sector are staring at the loss of livelihood, he added.

Praising the Garib Kalyan Yojana and the economic package announced by the Union government to contain the economic downturn, Gehlot said, "Its timely implementation will be in public interest."