The Department of Expenditure released Rs 9,871 crore to 17 states as the sixth monthly instalment of Post Devolution Revenue Deficit (PDRD) grant. With this release, a total amount of Rs 59,226 crore has already been released to the eligible states in the current financial year.
The amount is part of the PDRD grant of Rs 1,18,452 crore recommended by the Fifteenth Finance Commission to 17 states in the financial year 2021-22. With disbursement of Rs 59,226.00 crore, 50 per cent has been released so far, the Ministry of Finance said in a release.
The states recommended for PDRD Grant are Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Karnataka, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttarakhand and West Bengal.
The Post Devolution Revenue Deficit Grant is provided to states under Article 275 of the Constitution. The grants are being released in monthly instalments to meet the gap in revenue accounts of the states post devolution.
The eligibility of the states and the quantum of the grant is decided by the Commission based on the gap between the assessment of revenue and expenditure of the state after taking into account the assessed devolution for the financial year 2021-22.
Here’s the breakup of the grants received by each of the 17 states in the sixth instalment:
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