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Government to provide Rs 15k cr to states for capital expenditure


Government to provide Rs 15k cr to states for capital expenditure
Finance Ministry has decided to provide an additional amount of up to Rs 15,000 crore to states as interest free 50-year loan for spending on capital projects.
  |  1 May 2021 7:58 AM GMT
NEW DELHI: Finance Ministry has decided to provide an additional amount of up to Rs 15,000 crore to states as interest free 50-year loan for spending on capital projects.
The Department of Expenditure has issued fresh guidelines in this regard on the Scheme of Financial Assistance to States for Capital Expenditure for the financial year 2021-22.
The Finance Minister in her budget speech had announced that the Centre would take measures to nudge states to spend more on infrastructure and to incentivise disinvestment of their public sector enterprises. ....

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State to get additional ₹15,000 crore


State to get additional ₹15,000 crore
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Updated:
Free 50-year loan for spending on capital projects
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Free 50-year loan for spending on capital projects
Kerala will benefit from the Centre’s decision to provide an additional ₹15,000 crore to States as interest free 50-year loan for spending on capital projects.
The Department of Expenditure has issued fresh guidelines on the “Scheme of Financial Assistance to States for Capital Expenditure” for the financial year 2021-22. Last year, a sum of ₹ 11,830.29 crore was released to the States and this had helped to sustain the State-level capital expenditure in the pandemic year.
The assistance for the State will be from Part II of the Scheme for Special Assistance to States for Capital Expenditure for 2021-22. An amount of ₹7,400 crore is earmarked and this amount has been allocated amongst these States in proportion to their share of central taxes as per the award of t ....

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