Union Finance Minister Nirmala Sitharaman blamed the Tamil Nadu government for delaying the All India Institute of Medical Sciences (AIIMS), Madurai project on Thursday, August 10. Speaking in the Lok Sabha during the no-confidence motion debate, Nirmala Sitharaman said, “The budget (for AIIMS Madurai) was increased from Rs 1200 crore to Rs 1900 crore because land acquisition was delayed by the Tamil Nadu government. If the project is still delayed it’s because of the state government and not the Union government.” She also added that during the COVID-19 pandemic, site visits weren’t possible and as a result they couldn’t speed up the work. BJP's ally AIADMK was in power in the state until 2021, and DMK came to power in May 2021.
Nirmala Sitharaman also said that obtaining a loan from the Japan International Cooperation Agency (JICA) for the Madurai AIIMS does not undermine its importance. She said, “It is a well-established fact that Tamil Nadu need not worry whether we are borrowing or we are building out of our own funds. It is part of our fiscal management”. The Finance Minister was responding to a comment made by DMK MP TR Baalu, questioning the Union government for taking a loan from JICA. The construction work of AIIMS in Madurai is yet to begin due to delays in the funding process.
“The full cost of AIIMS Madurai is Rs 1977.80 crores and a loan of Rs 1627 crores is being taken from JICA. Since this is a central sector project, the Centre has taken the entire loan and there is no burden on the Tamil Nadu government. It forms part of central borrowing,” she said and added that the Government of India had similarly funded other projects through JICA.
She further added that there was no difference in the treatment of Tamil Nadu as compared to other states when it comes to AIIMS. “AIIMS usually has 750 beds but AIIMS Madurai will have 900 beds. This is because there will be an infectious diseases block that will be added. MBBS classes with 50 students have already begun in a temporary accommodation from April 2022. The temporary location is the medical college in Ramanathapuram where 99 students have been admitted so far.” she said.
DMK MPs who protested Nirmala Sitharaman’s comments during the proceedings, staged a walkout of the Lok Sabha midway through her speech.
In July, Tamil Nadu Health Minister Ma Subramanian informed that the construction work of AIIMS in Madurai will begin only by the end of 2024 and the institute is expected to be functional from 2028. He said that the delays were due to the complete dependence of the Union government on JICA for funds.
The incomplete AIIMS facility in Madurai has been a source of tussle between the BJP and Opposition parties, including the Dravida Munnetra Kazhagam (DMK), Congress, and others. The foundation stone for AIIMS in Madurai was laid by Prime Minister Narendra Modi in 2019.