- The Planning Commission has ruled out special category status for Bihar, arguing that doing so would require changes in guidelines.
- Bihar demanded special category status saying it was subject to floods.
CHARACTERSTICS OF SPECIAL
CATEGORY STATES:
- Special category states have some distinct characteristics. They have international boundaries, hilly terrain and have distinctly different socio-economic developmental parameters, according to a study undertaken for the 13th Finance Commission. The study said these states also have geographical disadvantages in their effort for infrastructural development.
- Public expenditure plays a significant role in the gross State Domestic Product of the states
- The Centre sanctions 90% in the form of grants in plan assistance to states in special category.
SPECIAL CATEGORY
STATES:
- Special category states are Arunachal Pradesh, Assam, Himachal Pradesh, Jammu & Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura and Uttarakhand.
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