Day 2 of Himachal Budget Session: Dy CM Questions LoP Over RDG Withdrawal; Jai Ram Thakur Cites Karnataka President

Shimla: The second day of the Budget Session in Himachal Pradesh witnessed sharp exchanges between the ruling dispensation and the Opposition over the withdrawal of RDG (Revenue Deficit Grant).

Deputy Chief Minister Mukesh Agnihotri took on Leader of the Opposition Jai Ram Thakur, questioning why the Opposition was not expressing outrage over the discontinuation of RDG support to the hill state.

🏛 Heated Debate in Assembly

During the discussion, the Deputy CM argued that the withdrawal of RDG has placed additional financial strain on Himachal Pradesh, a special category state that depends significantly on central assistance due to its geographical and fiscal constraints.

He questioned the Opposition’s stance, asking why it was not strongly protesting the Centre’s decision, and accused it of maintaining silence on an issue that directly impacts the state’s financial stability.

📊 Jai Ram Thakur’s Response

Responding to the criticism, Jai Ram Thakur cited the example of Karnataka, stating that the state had earlier advocated for the discontinuation of RDG under the revised fiscal framework. He suggested that changes in the grant structure were part of broader financial reforms recommended by central authorities and finance bodies.

Thakur maintained that the matter should be viewed in the context of evolving fiscal policies and not as a politically motivated move against Himachal Pradesh.

💰 What Is RDG?

Revenue Deficit Grant is financial assistance provided by the Centre to states facing revenue shortfalls, particularly special category or economically weaker states. The discontinuation or reduction of RDG can significantly affect state finances, especially in hilly regions like Himachal Pradesh with limited revenue generation capacity.

⚖ Political Undertones

The exchange underscored the larger political tussle between the ruling party in Himachal Pradesh and the Opposition, with both sides trading accusations over financial management and Centre-state relations.

As the Budget Session continues, discussions are expected to focus on fiscal sustainability, development spending, and strategies to compensate for reduced central assistance.

Further deliberations on the state’s financial roadmap are likely in the coming days.