The Centre has released an aggregate ₹37,420 crore to 29 States for 2015-16 as the first instalment of devolution recommended by the 14th Finance Commission.

As much as 54 per cent of this amount has gone to just six States, with Uttar Pradesh getting the highest share of ₹6,735.81 crore.

Major gainers The other five States that have got a significant share of the first instalment are Bihar (₹3,624.37 crore), West Bengal (₹2,746.91 crore), Madhya Pradesh (₹2,835.75 crore), Maharashtra (₹2,075.59 crore) and Rajasthan (₹2,065.79 crore).

The YV Reddy-headed 14th Finance Commission had earlier this year recommended a 10 percentage point hike in the States’ share of the tax divisible pool to 42 per cent for each of the award years 2015-20.

This would translate into States getting an additional ₹1.78 lakh crore in 2015-16.

The total devolution to States in 2015-16 is expected to be ₹5.26 lakh crore, against ₹3.48 lakh crore in 2014-15.

Grant-in-aid For 2015-16, the 14th Finance Commission had also recommended a grant-in-aid of ₹48,906 crore for 11 revenue-deficit States, such as West Bengal, Andhra Pradesh and Jammu & Kashmir.

In the first instalment of devolution for 2015-16, the States with low share are Sikkim (₹137.46 crore), Goa (₹141.51 crore), Mizoram (₹172.40 crore), Manipur (₹231.27 crore), Meghalaya (₹240.75 crore) Nagaland (₹186.68 crore) and Tripura (₹240.62 crore).

While Andhra Pradesh has got ₹1,616.78 crore, Telangana has got ₹915.85 crore.

Tamil Nadu has been allocated ₹1,510.51 crore towards the first instalment. Kerala has got ₹937.15 crore and Karnataka has been allocated ₹1,770.46 crore.

Odisha has got ₹1,743.46 crore and Gujarat has been allocated ₹1,159.56 crore.

Related Topics
comment COMMENT NOW