Chief Minister Sukhvinder Singh Sukhu has said that the discontinuation of the Revenue Deficit Grant (RDG) will have a serious impact on the state’s economy. After the Cabinet meeting and a presentation by the Finance Department in Shimla yesterday, he said that ending the Revenue Deficit Grant is not an issue of the government alone, but a matter concerning the rights of the people of the state. He said that once the provision of RDG is withdrawn, it will become difficult to safeguard the rights of the people of the state.

The Chief Minister pointed out that RDG has been discontinued for 17 states, but Himachal Pradesh has been affected the most adversely, as 12.7% of the state’s budget comes from RDG, making Himachal the second-highest recipient of RDG in the country. He further said that the state government is ready to meet the Prime Minister along with BJP MPs and MLAs on this issue, and if a solution is still not found, the state government will approach the court against the decision.