The urban development ministry on Friday sought a reimbursement of Rs 2,100 crore it had spent on buying 15,000 low-floor buses to perk up auto sector during economic slowdown but drew a cold response from finance ministry which said it does not have endless funds.

Claiming lack of funds for “sought-after” JNNURM schemes, urban development minister Jaipal Reddy said, "During the recession we were directed by the government to give funds to the states for purchasing about 15,000 low floor buses (in 2009-2010). We were told that it will be in addition to the allocated JNNURM funds. However, now we are told that this will be adjusted against the allocated JNNURM funds which is not fair," he said at the JNNURM conference in Delhi.

However, finance Minister Pranab Mukherjee said, “There would be always a miss in budgetary support.... We do not have endless funds.”

Currently, JNNURM projects worth Rs 1 lakh crores are being implemented in 63 cities across the country.

Reddy said, “JNNURM schemes are most sought after now and many more cities are keen to implement these projects concerning urban infrastructure including water supply, drainage system, solid waste management but we do not have any funds.”

Without committing, the finance minister said “we are open to suggestion.”

Mukherjee said state governments must make enabling environment for encouraging investment in urban infrastructure and users should be prepared to pay for public services.

Launched in December 3, 2005, JNNURM is a flagship project for the development of urban infrastructure in cities.

With rapid urbanisation, city population is expected to touch 590 million in the next 20 years.