On July 22, the government said that Bihar doesn’t qualify for "special category status" based on a 2012 report. This came a day after some political allies in Bihar asked for this special status for the state.

In a response to the Lok Sabha, Minister of State for Finance Pankaj Chaudhary explained that special category status was given to states with certain features like tough terrain, low population density, or being economically backward. The decision for this status was made by looking at all these factors together.

The 2012 report, prepared by a group of ministers, found that Bihar did not meet the criteria for this status. The Congress-led UPA government was in power then.

On July 21, JD(U) leader Sanjay Kumar Jha and other parties like the Lok Janshakti Party and the Opposition RJD asked for this status for Bihar. JD(U) has also said they would accept a special financial package instead if the status isn’t granted. Similar demands were made for Odisha and Andhra Pradesh.

The government also mentioned that the 14th Finance Commission has ruled out giving this status to more states.