States get permission to borrow 0.05 per cent of the Gross State Domestic Product (GSDP) for meeting the target set for the state for reduction in AT&C losses and an additional 0.05 per cent of GSDP for crossing the ACS-ARR gap target

So far, 12 states have implemented ease of doing business reforms and have got additional borrowing permission of Rs 28,183 crore

So far, Delhi government departments were required to send their proposals for aid grant to the Finance Department which would forward them to the Planning Department for further scrutiny, a senior government officer said

The ministry has allocated this additional funds to the state for capital expenditure for undertaking the 'One Nation, One Ration Card' reforms, Ease of Doing Business reforms, and urban local bodies reforms

Madhya Pradesh is leading the states in power sector reforms with the initiation of Direct Benefit Transfer (DBT) scheme

Scheme was started by Centre in May under which it decided to link grant of additional borrowing permissions to states undertaking the ease of doing business reforms

On successfully undertaking the ULBs reforms, Andhra Pradesh and Madhya Pradesh have been granted permission to mobilise additional financial resources to the tune of Rs 4,898 crore through open market borrowings

As part of citizen-centric reforms, 10 states have implemented one nation one ration card system; 5 states have done ease of doing business reforms; and two states carried out local body reforms so far

States to get additional borrowing permission on completion of reforms; they will also get additional financial assistance for capital expenditure

Scheme is aimed at boosting capital expenditure by states facing a difficult financial crunch due to the shortfall in tax revenue in the wake of COVID-19 pandemic

The current government has undertaken various measures to improve India's ranking in ease of doing business and to attract investments.

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