Centre releases Revenue deficit grant of Rs 7,183.42 crore to 14 States

New Delhi: The Union Finance Ministry  has announced that the central government has released Rs 7183.42 crore as a revenue deficit grant to 14 states, including Andhra Pradesh, Kerala, Punjab, Rajasthan, and West Bengal. This is the second monthly instalment of the Post Devolution Revenue Deficit Grant, which was distributed to the 14 states in accordance with the Fifteenth Finance Commission's recommendations.

For the fiscal year 2022-23, the Fifteenth Finance Commission recommended a total Post Devolution Revenue Deficit Grant of Rs 86,201 crore to 14 states. The Department of Expenditure will distribute the suggested grant to the recommended States in 12 equal monthly instalments.

Article 275 of the Constitution provides states with Post Devolution Revenue Deficit Grants (PDRDG). The grants are distributed to the states in accordance with the recommendations of successive Finance Commissions in order to close the deficit in state revenue accounts following devolution.

The Fifteenth Commission determined the eligibility of States to receive this grant and the amount of grant for the period 2020-21 to 2025-26 based on the difference between the State's assessed revenue and expenditure after accounting for assessed devolution during this period.  The entire amount of Revenue Deficit Grants issued to the States in 2022-23 has increased to Rs. 14,366.84 crore, according to the ministry.

The Fifteenth Finance Commission has suggested that Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tripura, Uttarakhand, and West Bengal get Post Devolution Revenue Deficit Grant in 2022-23. West Bengal received Rs 1132.35 crore for the second payment, the biggest post-devolution income deficit grant, followed by Kerala with Rs 1097.83 crore.

GST revenue collection for April 2022 touches at all-time high

India gradually moving towards becoming a high-tech mfg economy: Goyal

Govt to launch 75 digital banking units in India on Aug 15: PM

 

- Sponsored Advert -

Most Popular

- Sponsored Advert -