New Delhi: An intervention by Prime Minister Atal Behari Vajpayee has resolved the contentious issue of finalising the annual plan size for Jammu and Kashmir at Rs 2,200 crore for the current fiscal.

The plan size was finalised at the meeting between the state government and the Planning Commission here on June 13.

The outlay, over Rs 400 crore more than the one allocated by the Planning Commission, was firmed up after the Prime Minister asked the Finance Ministry to release the required amount.

Serious differences had emerged between the state government and the Planning Commission on the plan size following wide variation in the projections.

The first meeting with the state government proved inconclusive with the commission asking the state government to rework its data.

The Plan size was then pegged at Rs 1,800 crore against Rs 2,200 crore projected by the state.

The Commission justifying its plan size had said that the amount had been arrived at after considering the state identifiable resources and the gap should be covered by up the Finance Ministry.

However, Finance Ministry did not favour the proposal following which Chief Minister Farooq Abdullah approached the Prime Minister to settle the issue.

PTI