The central government has 'released' the revenue deficit of Rs 9,871 crore to 17 states, including Tamil Nadu ...

Times of AthibAn Thursday, July 08, 2021 0

The central government has been released, Rs 9,871 crore revenue deficit funds to 17 states, including Tamil Nadu, in the fourth tranche.

The Finance Committee will make recommendations to the Central Government on revenue sharing between the Central and State Governments. The Finance Committee will recommend that revenue deficit funds be provided to states where expenditure exceeds revenue. The funds so provided will help the states to overcome their fiscal deficits.

Accordingly, based on the recommendation of the 15th Finance Commission, the Central Government is releasing revenue deficit funds to 17 eligible states in monthly installments. The central government has released Rs 9,871 crore as revenue deficit funds to 17 states, including Tamil Nadu, in the fourth tranche. Of this, the Central Government has released Rs. 183.67 crore for the 4th installment to Tamil Nadu.

Of the Rs 1,18,452 crore recommended by the 15th Finance Commission, 17 states are Tamil Nadu, Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Karnataka, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tripura, Uttarakhand and West Bengal. So far, Rs 39,484 crore has been disbursed in 4 installments. It is noteworthy that the Central Government had said that the total amount would be released in a total of 12 installments.