The Centre has released its fifth installment of Post Devolution Revenue Deficit Grant of Rs 9,871 crore to 17 states including Meghalaya for the month of August.
Out of this, Meghalaya received Rs 106.58 crore. The total amount of Devolution Revenue Deficit Grant released to the State during 2021-22.
With the release of this installment, a total amount of Rs. 49,355 crore has been released to eligible states as Post Devolution Revenue Deficit Grant in the current financial year.
Besides Meghalaya, the other states provided with the Post Devolution Revenue Deficit Grant by the Fifteenth Finance Commission are Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Karnataka, Kerala, Manipur, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttarakhand, and West Bengal.
The Post Devolution Revenue Deficit Grant is provided to the states under Article 275 of the Constitution.
The grants are released as per the recommendations of the Fifteenth Finance Commission in monthly installments 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 was decided by the Finance Commission based on the gap between assessment of revenue and expenditure of the state after taking into account the assessed devolution for the financial year 2021-22.
The Fifteenth Finance Commission has recommended a total Post Devolution Revenue Deficit Grant of Rs 1,18,452 crore to 17 states in the financial year 2021-22. Out of this, an amount of Rs 49,355 crore (41.67 per cent) has been released so far.
