Centre releases Rs 6,158 cr to 14 states as revenue deficit grant

The central government has released Rs 6,157.7 crore to 14 states as monthly instalment of the post-devolution revenue deficit grant in line with the interim recommendations of the 15th finance commission.

"The Government has released Rs 6,195.08 crore to 14 states on account of the eighth equated monthly installment of post devolution revenue deficit grant,” said the office of finance minister Nirmala Sitharaman on Tuesday on Twitter.

The 14 states are Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Sikkim, Tamil Nadu, Tripura, Uttarakhand and West Bengal.

A similar amount was released as grant in the April-October period of the current financial year.  

The 15th finance commission, headed by former bureaucrat N K Singh, identified 14 states which would face a revenue deficit post-devolution.  To make up for this deficit, the Commission has recommended revenue deficit grants worth Rs 74,341 crore to these states during 2020-21.