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Special category status for state UPSC NOTE

 Why in News

Chief Minister Nitish Kumar on Thursday said he would launch a movement across Bihar if the Centre fails to grant the State special category status.

What is Special Category status for state

  • Special Category Status (SCS) is a classification given by the Centre to assist in the development of those states that face geographical and socio-economic disadvantages.

  • This classification was done on the recommendations of the Fifth Finance Commission in 1969.

  • It was granted based on the Gadgil formula

Criteria for selection

  1. Hilly Terrain

  2. Low Population Density And/Or Sizeable Share of Tribal Population;

  3. Strategic Location along Borders With Neighbouring Countries;

  4. Economic and Infrastructure Backwardness; and     Non-viable Nature of State finances.

  • It was initially granted to only three states: Jammu and Kashmir, Nagaland, and Assam.

  • Special Category Status for plan assistance was granted in the past by the National Development Council to the States

  • 11 states namely, Arunachal Pradesh, Assam, Himachal Pradesh, Jammu & Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura and Uttarakhand were granted special category status.

  • Following the recommendations of 14th Finance Commission, the Special Category States cease to exist 

  • The 14th Finance Commission suggested to fill the resource gap of such states through tax devolution by increasing it to 42% from 32%.



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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Special category status for state UPSC NOTE
Special category status for state UPSC NOTE
Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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