New Delhi : The Ministry of Finance has released the third monthly installment of Post Devolution Revenue Deficit (PDRD) grant of Rs 9,871 crore for the year 2021-22 to 17 states,an official release said here on Wednesday.
With the release on Tuesday, a total amount of Rs 29, 613 crore has been released in the first three months of the current financial year as PDRD to the states.
As per the release, the Centre provides the grant under Article 275 of the Constitution as per the recommendations of the Finance Commission in monthly installments to meet the gap in revenue accounts of the states post devolution.
The 15th Finance Commission has recommended Post Devolution Release Deficit grants to 17 states.
The states are: Andhra Pradesh, Assam, Haryana, Himachal Pradesh, Karnataka, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttarakhand and West Bengal, the release read.
The eligibility of states to receive this grant and the quantum of grant was decided by the Commission based on the gap between assessment of revenue and expenditure of the State. Assessed devolution for the financial year 2021-22 was also taken into account by the Commission.
In the financial year 2021-22, the 15th Finance Commission has recommended a total PDRD grant of Rs1,18,452 crore to 17 states which is released in 12 monthly installments.