New Delhi: The finance ministry said on Monday it had released Rs 9,871 crore in deficit revenue subsidy to 17 states. The states that will receive the grant money as recommended by the 15th Finance Commission are Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Karnataka, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttarakhand and West Bengal.
The Ministry of Finance’s expenditure department today released the 7th monthly tranche of the Post-Devolution Revenue Deficit Grant (PDRD) of Rs 9,871.00 crore to the States. With the release of this tranche, a Total amount of Rs 69,097.00 crore has been paid to eligible states as a Post-Devolution Income Deficit Grant (PDRD) in the current fiscal year, âan official statement said.
Grants are released in accordance with the recommendations of the 15th Finance Committee in monthly installments to close the gap in state income accounts after decentralization. The Commission recommended this grant to 17 states in 2021-2022.
The eligibility of the States to receive this subsidy and the amount of the subsidy were decided by the Commission on the basis of the difference between the evaluation of State revenue and expenditure after taking into account the devolution evaluated for 2021-2022 fiscal year.
âThe 15th Finance Committee recommended a total revenue deficit subsidy after devolution of Rs 1,18,452 crore to 17 states in fiscal year 2021-22. Of this amount, an amount of Rs 69,097.00 crore (58.33%) has been released so far, âthe statement added.