The Central Government has disbursed a second tranche of Rs 6,000 crore to 16 states and 3 Union Territories as GST compensation. This funding is part of a special borrowing window designed to address GST compensation shortfalls. The loans are being provided at a favourable interest rate of 4.42%, which is lower than what the states and UTs could typically borrow at, offering them financial relief.
Central Government releases Rs 6,000 crore as second tranche to 16 states and 3 Union Territories on account of GST compensation under Special Borrowing Window
Ministry of Finance has facilitated loans of Rs 12,000 crore till date under the Special Window to States/UTs
The Ministry of Finance,
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FAQ :
The Central Government has released Rs 6,000 crore as the second tranche of GST compensation.
This second tranche has been released to 16 states and 3 Union Territories.
Under the Special Window, the Ministry of Finance has facilitated loans totalling Rs 12,000 crore to date.
The loans are being released at a weighted average yield of 4.42%.
The funds have been released to Andhra Pradesh, Assam, Bihar, Goa, Gujarat, Haryana, Himachal Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Meghalaya, Odisha, Tamil Nadu, Tripura, Uttar Pradesh, Uttarakhand, UT of Delhi, UT of Jammu and Kashmir, and UT of Puducherry.