Centre releases Rs 6,195 cr to 14 states as instalment of post devolution revenue deficit grant
New Delhi: The Centre on Wednesday released Rs 6,195 crore to 14 states as monthly instalment of post devolution revenue deficit grant.
“Based on the 15th Finance Commission interim recommendations, the Govt released Rs 6,195.08 crore on 9th December 2020 to 14 States on account of the 9th equated monthly installment of Post Devolution Revenue Deficit Grant,” Office of Finance Minister Nirmala Sitharaman tweeted.
Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Sikkim, Tamil Nadu, Tripura, Uttarakhand and West Bengal are the states to whom the amount has been released.
A similar amount was released as grant for April-November months of the current financial year.
The Finance Commission provides a mechanism for the Centre to compensate for revenue loss incurred by states, which is referred to as post devolution revenue deficit grant.