Question : RELEASE OF FUNDS UNDER NSDP



(a) whether National Slum Development Programme fund is released in additional central assistance in which 70% is treated as loan component and 30% as grant;

(b) if, so whether the various States have requested for treating 70% loan component as total financial grant in view of precarious position; and

(c) if so, the reaction of the Government thereto?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF URBAN DEVELOPMENT & POVERTY ALLEVIATION ( SHRI PON. RADHAKIRISHNAN )

(a): Under National Slum Development Programme(NSDP) funds are released in the form of Additional Central Assistance (ACA) on the pattern of 70% loan and 30% grant for non-special category States and 10% loan and 90% grant for special category States.

(b): Some states have requested for converting 70% loan component into 100% grant component.

(c): There is no proposal to convert the NSDP into 100% grant component.