Uttarakhand, troubled by development, got an ointment of 1435 crores from Center as GST compensation

Uttarakhand has received an amount of 1435.95 crores from the Center as GST compensation. After the second wave of Corona, this amount is no less than an ointment for the state government

Uttarakhand, troubled by development, got an ointment of 1435 crores from Center as GST compensation

Uttarakhand has received an amount of 1435.95 crores from the Center as GST compensation. After the second wave of Corona, this amount is no less than an ointment for the state government, which is agonizing over the development works. In order to give GST compensation to the states in the financial year 2021-22, the central government has taken a loan at an interest rate of 5.59% per annum. The Center has raised a loan of 63,703.15 crores to 23 states for payment of compensation.

The economy of the state is in shock for the second consecutive year during the Corona period. It was told that there has been a decrease of about one and a half to two thousand rupees in the first quarter on revenue income. For this reason, the state government was forced to borrow Rs 700 crore from the market in June. In the current financial year, till December, the state government can take a loan of Rs 5500 crore from the market. This limit has been fixed for the state.

647 crore of revenue deficit grant received

After the outbreak of the second wave of corona subsides, the state government is scrambling to speed up the pace of development works. On such an occasion, the government is feeling relieved by getting the amount of GST compensation. Earlier, the government had received Rs 647.66 crore of revenue deficit grant from the central government in the current month. The 15th Finance Commission has fixed an annual amount of 7771 crores as a revenue deficit grant for the financial year 2021-22 for Uttarakhand. Accordingly, the installment of the grant is being given to the state every month.

Fifth Finance Commission report will be presented in Assembly

On the basis of the recommendations of the Fifth Finance Commission, the share of urban bodies and three-tier panchayats of the state will be decided soon. The commission has prepared its report in this regard. Commission President Indu Kumar Pandey will submit this report to the Raj Bhavan on July 19. This report will be presented in the upcoming assembly session. After the approval of the assembly, according to the recommendation of the commission, a new share in state taxes will be implemented for urban bodies and panchayats in the state.