New Delhi: The central government has released the first installment of revenue deficit grant of Rs. 7,183.42 crore to 14 States for the current financial year.
With the release of this installment, a total amount of Rs. 86,201 crore has been released to eligible States as Post Devolution Revenue Deficit Grant (PDRD) for the financial year 2022-23, the Ministry of Finance said in a statement today.
“The Department of Expenditure, Ministry of Finance has released the first monthly installment of Post Devolution Revenue Deficit (PDRD) Grant of Rs. 7,183.42 to the States on April 7, 2022,” it said.
The recommended grant will be released by the Department of Expenditure to the recommended States in 12 equated monthly instalments.
The Post Devolution Revenue Deficit Grants are provided to the States under Article 275 of the Constitution, the statement read.
The grants are released to the States as per the recommendations of the successive Finance Commissions to meet the gap in Revenue Accounts of the States post-devolution.
The eligibility of States to receive this grant and the quantum of grant for the period from 2020-21 to 2025-26 was decided by the Fifteenth Commission based on the gap between the assessment of revenue and expenditure of the State after taking into account the assessed devolution during this period.
The States who have been recommended Post Devolution Revenue Deficit Grant by the Fifteenth Finance Commission during 2022-23 are Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tripura, Uttarakhand and West Bengal, the release said.