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Al Jazeera
Al Jazeera
Business

As PM, India’s Modi secretly tried to massively cut state funds

The government of Prime Minister Narendra Modi slashed allocations for different welfare schemes in its maiden budget [File: Rajesh Kumar Singh/AP Photo]

New Delhi, India – Immediately after becoming the prime minister in 2014, Narendra Modi held backdoor negotiations with the Finance Commission of India to significantly cut funds allocated to the country’s states.

However, the head of the commission, an independent constitutional body deciding states’ shares from central taxes, resisted, and Modi had to back off, new revelations show.

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