The Centre has released Rs 51.09 crore to Meghalaya in the seventh weekly installment from the special borrowing window.
The amount was released on December 14. It may be noted that the additional borrowing of 0.50 percent allowed to Meghalaya amounts to Rs 194 crore.
The Centre has released the amount borrowed to the State on October 23, November 2, November 9, November 23, December 1, December 7 and December 14.
The Government of India had set up a special borrowing window in October 2020 to meet the estimated shortfall of Rs.1.10 lakh crore in revenue arising on account of implementation of GST. The borrowings are being done through this window by the Government of India on behalf of the states and union territories.
The amount has been borrowed last week at an interest rate of 5.1348 per cent. So far, an amount of Rs. 42,000 crore has been borrowed by the Central government through the special borrowing window at an average interest rate of 4.7712 per cent.
In addition to providing funds through the special borrowing window to meet the shortfall in revenue on account of GST implementation, the Government of India has also granted additional borrowing permission equivalent to 0.50 % of Gross States Domestic Product (GSDP) to the states choosing Option-I to meet GST compensation shortfall to help them in mobilising additional financial resources.
All the states have been given their preference for Option-I. Permission for borrowing the entire additional amount of Rs.1,06,830 crore (0.50 per cent of GSDP) has been granted to 28 states under this provision.