|
|
|
MP, Andhra rewarded for completing reforms
|
|
|
|
Top Stories |
|
|
|
|
SME Times News Bureau | 06 Jan, 2021
Madhya Pradesh and Andhra Pradesh have become the first
group of states to complete three out of the four citizen centric
reforms stipulated by the Finance Ministry for getting additional
borrowing rights for capital expenditure.
The two states have
completed the One Nation, One Ration Card Reforms; Ease of Doing
Business Reforms; and Urban Local Bodies Reforms.
Consequent upon
completion of reforms in the three sectors, the Department of
Expenditure has decided to provide additional financial assistance
amounting to Rs 1,004 crore to these States under the newly launched
Scheme of "Special Assistance to States for Capital Expenditure".
Andhra
Pradesh will get an additional amount of Rs 344 crore while Madhya
Pradesh has become entitled to receive Rs 660 crore for capital
projects.
The capex scheme was announced by the Finance Minister
on October 12, 2020 as part of Aatma Nirbhar Bharat package. The
additional financial assistance for the capital expenditure is in
addition to the permission of Rs 14,694 crore issued to these states
for extra borrowings for completing the reforms.
The Scheme of
"Special Assistance to States for Capital Expenditure" is aimed at
boosting capital expenditure by the State Governments who are facing
difficult financial environment this year due to the shortfall in tax
revenue arising from the Covid-19 pandemic.
Capital Expenditure
has a higher multiplier effect, enhancing the future productive
capacity of the economy, and results in a higher rate of economy growth.
Therefore, despite the adverse financial position of the
Central government, it was decided to extend a special assistance to the
state governments in respect of capital expenditure, in financial year
2020-21.
The scheme has got good response from the State
Governments. So far, capital expenditure proposals of Rs 9,880 crore of
27 states have been approved by the Ministry of Finance.
An amount of Rs 4,940 crore has already been released to the States as the first instalment under the Scheme.
Tamil Nadu has not availed the benefit of the Scheme.
The
capital expenditure projects have been approved in diverse sectors of
economy like, Health, Rural Development, Water Supply, Irrigation,
Power, Transport, Education, Urban Development.
The Scheme has three parts. Part-I of the scheme covers the north-eastern and hill states.
Under
this part, Rs 200 crore is allocated to each of the 7 north-eastern
States (Arunachal Pradesh, Meghalaya, Manipur, Mizoram, Nagaland, Sikkim
and Tripura) and Rs 450 crore is allocated to each of the hill states
(Himachal Pradesh and Uttarakhand).
Part-II of the Scheme is, for all other States not included in Part-I. An amount of Rs 7,500 crore is earmarked for this part.
This
amount has been allocated amongst these States in proportion to their
share of central tax as per the interim award of the 15th Finance
Commission for the year 2020-21.
Part-III of the Scheme is aimed at pushing various citizen-centric reforms in the states.
Under this part, an amount of Rs 2,000 crore is earmarked.
This
amount will be available only to those States who carry out by
December 31, 2020, at least 3 out of the 4 reforms specified by the
Ministry of Finance. The 4 reforms are - One Nation One Ration Card,
Ease of doing Business Reform, Urban Local Body/Utility Reform and Power
Sector Reform.
|
|
|
|
|
|
|
|
|
|
|
|
|
Customs Exchange Rates |
Currency |
Import |
Export |
US Dollar
|
66.20
|
64.50 |
UK Pound
|
87.50
|
84.65 |
Euro
|
78.25
|
75.65 |
Japanese
Yen |
58.85 |
56.85 |
As on 13 Aug, 2022 |
|
|
Daily Poll |
|
|
PM Modi's recent US visit to redefine India-US bilateral relations |
|
|
|
|
|
Commented Stories |
|
|
|
|
|
|
|
|