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FM says situation improving in Manipur, creates Rs 500 Cr corpus for state

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New Delhi: Stating that the law and order situation in strife-torn Manipur has improved, Union Finance Minister Nirmala Sitharaman on Tuesday said that the central government is extending all financial support for the economic recovery of the state.

Replying to the discussion on Supplementary Demands for Grant (SDG) Second Batch 2024-25, Demands for Excess Grants for 2021-22, Manipur Budget 2025-26 and SDG (Manipur) 2024-25 in Lok Sabha, Sitharaman announced Rs 500 crore contingency fund for Manipur.

“One good thing which is already being done for Manipur finance management is that they never had a contingency fund, till now. Now, when we are coming up with this Vote on Account and supplementary demand for 2024-25, Rs 500 crore corpus is being given so that they will have a contingency fund from now kept every year. If necessary more can be added to it but that system which did not exist before we have now brought in,” Finance Minister said.

Sitharaman said that with collective effort of both Centre and state government there has been an improvement in overall law and order situation to a large extent.

“Priorities also (being) given for release of fund from the Centre such as for centrally sponsored schemes so the major and critical projects which are being monitored and reviewed regularly for timely completion,” she said.

The Minister slammed Congress for failing to contain violence in Manipur during their terms in the office.

Participating in the discussion, Manipur’s Lok Sabha MPs criticised the Union government for ‘neglecting the state’s needs.’ They urged the Centre to address the ongoing crisis.

Following the Minister’s reply, the Lok Sabha passed the Manipur Appropriation Bill, 2025, the Manipur Appropriation (Vote on Account) Bill, 2025, the Appropriation Bill, 2025 and the Appropriation (No.2) Bill, 2025.

The Lower House was then adjourned to meet on Wednesday (March 12, 2025).

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