MPCC urges 16th FC for special assistance
Source: Chronicle News Service
Imphal, November 09 2024:
Manipur Pradesh Congress Committee (MPCC) has submitted a memorandum to the 16th Finance Commission, seeking intervention to address the severe challenges facing the state.
Highlighting the collapse of state institutions, displacement of over 60,000 people, economic stagnation, and disruptions to critical infrastructure since May 2023, MPCC called for targeted financial assistance and policy revisions to support rehabilitation and sustainable development in Manipur.
Addressing a press conference held at Congress Bhawan, Imphal, on Saturday, MPCC president MLA Keisham Meghachandra presented a comprehensive insight to the memorandum submitted to the visiting team of the 16th Finance Commission.
The memorandum, presented on Friday, highlighted the dire need for financial intervention and special recommendations to salvage Manipur from its current conflict and economic turmoil.
Meghachandra outlined the severe challenges facing the state since May 2023, citing a protracted violent conflict that has led to the collapse of state institutions and a failure of constitutional machinery.
The unrest has displaced over 60,000 civilians and resulted in the loss of more than 200 lives.
The violence has also disrupted essential transportation services, including rail and road transport, halting the flow of goods and people and crippling the state's economy.
He emphasised that the total shutdown of Indo-Myanmar border trade and a significant decline in business and agriculture have exacerbated the economic downturn.
The memorandum pointed out that local governance has come to a standstill, with elections to the Imphal Municipal Corporation and other Urban Local Bodies, Autonomous District Councils, Zila Parishads, and Gram Panchayats not held for years.
This situation complicates the Finance Commission's ability to recommend measures to augment the consolidated fund of the state for supplementing the resources of local bodies, Meghachandra said.
He noted that the absence of functioning local governance structures has made it difficult for the state government to administer hill areas and carry out the responsibilities of district councils as outlined in The Manipur (Hill Areas) District Councils Act 1971 .
He further informed that the memorandum raised concerns over the uncertainty surrounding grants to local bodies from central resources, as laid out in the 15th Finance Commission's report for 2021-2026 .
The dormancy of local governance institutions has created doubts over the disbursement of these crucial funds.
Additionally, the memorandum highlighted the financial strain evident in the state's "Manipur Budget at a Glance (Vote on Account)" for 2024-2025, which reveals a consistent increase in revenue expenditure over the past three fiscal years and a concurrent decline in capital expenditure, pointing to a troubling trend that hampers development, he added.
Rehabilitation efforts for the internally displaced persons (IDPs) remain a significant concern, Meghachandra said and added that MPCC, in the memorandum, stressed the urgent need for compensation for the IDPs' properties and the payment of rehabilitation grants to support those affected by the crisis.
The memorandum also called for a reassessment of certain state regulations perceived as retrogressive.
It cited The Manipur Conservation of Paddy Land and Wetland Act, 2014, which restricts the conversion of paddy land and limits economic diversification and growth.
It also mentioned The Manipur Regulation of Sale Deed Registration (Amendment) Rules, 2023, which imposes stringent requirements for land sale deed registration, complicating efforts to increase state revenue, the MPCC president said.
MPCC's appeal to the Finance Commission included a request for grants-in-aid to bolster economic and social infrastructure.
The memorandum specified the need for sustainable development projects for Loktak Wetland and its catchment areas, as well as the upgradation and restoration of key national highways (NH 2, NH 37, and NH 102) that connect Manipur to neighbouring states and Myanmar.
He further called for investments in infrastructure for state universities such as Dhanamanjuri University, University of Culture, and Manipur Technical University.
Additionally, it outlined the necessity of upgrading state and district hospitals, including JNIMS Hospital in Imphal, and modernising the Sports Complex at Khuman Lampak and tourist destinations to promote development, he continued.
Given the disruption of ground transport services due to the conflict, MPCC urged the Finance Commission to consider subsidising domestic air travel fares for passengers from Manipur to alleviate the burden on the local population, he added.
Meghachandra made an appeal for the 16th Finance Commission to acknowledge the state's unique challenges.
He stressed that the state is in the throes of an unprecedented humanitarian crisis marked by lawlessness, internal disturbance, and a failure of constitutional machinery.
He called for special recommendations that would bolster the state's consolidated fund and aid in restoring stability and development to Manipur.