Assam CM urges Centre to enhance borrowing limit for Northeastern states
Shillong, June 19
Assam Chief Minister Himanta Biswa Sarma on Friday urged the Centre to enhance the borrowing and access limits under Externally Aided Projects for northeastern states, saying such initiatives have become crucial in sustaining the region's rapid development and unlocking large-scale infrastructure investments.
Addressing a seminar on "Leveraging Externally Aided Projects in the North Eastern States" in Shillong, chaired by Union Finance Minister Nirmala Sitharaman, Sarma said the Northeast has witnessed unprecedented growth under the leadership of Prime Minister Narendra Modi, with EAPs emerging as a key instrument in addressing developmental challenges across sectors.
The seminar brought together Chief Ministers and senior officials from the northeastern states, along with representatives of multilateral development agencies and the Government of India.
Sarma said EAPs have significantly contributed to improving healthcare, education, livelihoods, infrastructure, environmental conservation and institutional capacity building through a focused and outcome-oriented approach.
Highlighting Assam's experience, the Chief Minister said the state has effectively leveraged externally aided projects to drive innovation and deliver tangible benefits to citizens.
He noted that the value of EAP-supported initiatives in Assam has increased dramatically from around Rs 7,500 crore during the 14th Finance Commission period to nearly Rs 53,000 crore under the 15th Finance Commission.
"Several projects have already been completed successfully, while many others are currently under implementation and are contributing significantly to Assam's development journey," Sarma said.
He informed that projects worth nearly Rs 53,000 crore are presently being implemented in Assam under the EAP framework, covering critical sectors such as bridges, embankments, healthcare infrastructure, power transmission and distribution, advanced technology and robotics.
Making a strong case for expanding access to such funding mechanisms, Sarma said multilateral agency-backed projects have enabled Assam to undertake transformative initiatives that were previously considered financially unviable because of their high capital requirements.
The Chief Minister also underscored the non-financial benefits of EAPs, stating that they have introduced robust project management systems, global expertise and international best practices into governance, thereby enhancing efficiency, transparency and service delivery.
Expressing gratitude to Sitharaman, Sarma said the deliberations would strengthen regional cooperation and help transform the Northeast into a major driver of India's economic growth.
— IANS
Reader Comments
It's encouraging to see multilateral partners involved—global expertise and best practices could really transform governance in the region. Hope this model gets replicated in other states too. Assam's numbers show what's possible when you have the right partnerships.
Finally some serious focus on the Northeast! 🌄 But can we also talk about local contractors and small businesses? These big EAP projects often go to large corporations. Need to ensure local entrepreneurs get a piece of the development pie too.
Healthcare, education, bridges, power—these are exactly what the Northeast needs. But I hope the borrowing limit enhancement comes with strict accountability measures. We don't want another debt trap situation for states that are already fiscally constrained.
Great to see Assam leading by example! From Rs 7,500 crore to Rs 53,000 crore in one Finance Commission period is no joke. But my worry is: will this money actually improve lives in rural Assam, or just build shiny new buildings in Guwahati? Need to see benefits reach the last mile.
The non-financial benefits mentioned here—robust project management, global expertise—are often overlooked but so important. If done right, this could help build institutional capacity that lasts beyond individual projects. Let's hope it's not just a numbers game.
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