The Centre recently reviewed the financial position and resource mobilisation capacity of `the seven sisters' of the North East for the Ninth Plan. A review meeting for the purpose is slated for later this month which will be based on the approved approach paper. A new basis to raise funds for the N-E region is also under review by the Union Government. Talking of the North-East, a thrust on infrastructural development of the region demands itself.

According to the monthly economic report of the Union Finance Ministry, the declining output of crude petroleum, nitrogenous fertiliser and hydel power generation has adversely affected the overall performance of the basic infrastructure industries in particular and industrial sector in general.

Industrial production during April-December 1996 decelerated to 8.3 per cent from 11.4 per cent in the corresponding period of 1995-96. The deceleration was witnessed in all the major sectors, including manufacturing, mining and quarrying and electricity. As for the infrastructure industrial performance, the worst performer was the petroleum sector.

Crude output declined by 9.3 per cent during April-February 1996-97. Another area where there was poor performance was hydro-electricity generation, which in fact was only a continuation of its poor track record. Hydel generation declined by 5.7 per cent during the review period.

Any discussion on infrastructural performance would be meaningless without a close look at the north-eastern sector. The Chief Ministers of states of the region have already submitted their views on the matter and have reached a broad consensus on the thrust of developmental activities. While the country's infrastructural needs generally have to be given a sharp focus, those of the North-East demand urgent attention in view of the region's backwardness and because of growing insurgency.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.