Govt releases 7th monthly installment of Post Devolution Revenue Deficit grant of over Rs 7183 crore to 14 states
Union government has released the 7th monthly instalment of Post Devolution Revenue Deficit grant of over Rs. 7,183.42 crore to 14 states including Tripura which has got Rs 368.58 crore .
Finance Ministry said, the grant has been released as per the recommendations of the 15th Finance Commission. It said, the commission has recommended a total Revenue Deficit Grant of Rs 86, 201 crore to 14 States for the financial year 2022-23.
The recommended grant is released by the Department of Expenditure to the States in 12 equated monthly instalments. The Ministry said, with the release of 7th installment for the month of October this year, the total amount of Revenue Deficit Grants released to the States has gone up to Rs 50,282 crore.
Other states apart from Tripura are Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tripura, Uttarakhand and West Bengal.
The Post Devolution Revenue Deficit Grants are provided to the states under Article 275 of the Constitution. The grants are released to the states as per the recommendations of the successive Finance Commissions to meet the gap in Revenue Accounts of the states post devolution.
The eligibility of states to receive this grant and the quantum of grant for the period from 2020-21 to 2025-26 was decided by the 15th Finance Commission based on the gap between assessment of revenue and expenditure of the state after taking into account the assessed devolution during this period.
