New Delhi, December 6 (IANS/MExN): All the 28 states and three union territories with legislature have decided to go for the Centre-suggested compensation formula to meet the revenue shortfall arising out of the GST implementation.
Jharkhand, the only remaining State, has now communicated its acceptance of Option-1 given by the Centre.
All the three union territories with Legislative Assembly who are members of the GST council have already decided in favour of Option-1.
The Central government has set up a special borrowing window for the states and union territories that choose Option-1 to borrow the amount of shortfall arising out of GST implementation.
The window has been operationalised since October 23 and the Centre has already borrowed an amount of Rs 30,000 crore on behalf of the states in five instalments and passed it on to the ones who chose Option-1.
The next instalment of Rs 6,000 crore will be released on December 7.
Under the terms of Option-1, besides getting the facility of a special window for borrowings to meet the shortfall arising out of GST implementation, the states are also entitled to get unconditional permission to borrow the final instalment of 0.50% of Gross State Domestic Product (GSDP) out of the 2 per cent additional borrowings permitted by the Centre under the Atma Nirbhar Abhiyaan on May 17.
This is over and above the Special Window of Rs.1.1 lakh crore.
Rs 157cr borrowing allowance for Nagaland
According to an official statement from the of Finance showing the list of State wise additional borrowing of 0.50% of GSDP allowed and amount of funds raised through special window passed on to the States/UTs till December 4, Nagaland was allowed to borrow a sum of Rs 157 crore.
Among the North East states, Assam has the highest allowance for borrowing under of 0.50% of GSDP scheme at Rs 1869 crore, followed by Tripura at Rs 297 crore.
There rest of are as follow: Meghalaya Rs 194 cr; Sikkim Rs 156 cr; Manipur Rs 151 cr; Arunachal Pradesh Rs 143 cr and Mizoram Rs 132 cr.
Both Assam and Tripura are also eligible to raised amount through special windows.
