New Delhi: The center on Monday decided to release an additional RS 47,500 Crore to the state as their tax part to increase capital expenditure, especially for infrastructure.
The center said the reduction in customs for gasoline and diesel would not affect transfers to the country.
While the state will be given Rs 47,541 Crore on Monday, Minister of Finance Nirmala Sitharaman, follows consultations with the countries and the union area, asking officials to release suitable quantities.
Usually, funds are transferred in 14 installments to the country with three paid in March.
This time one stage was released in November instead of March, Sitharaman told reporters at a night press conference.
11 countries reach the Capex target for Q1 of the FY22The Center, which has seen a collection of healthy income, has increased fund transfers for GST compensation and now encourage more funds to countries, which sit on the balance of the shoots of Crore almost Rs 2.7 lakh at late October.
Only four countries have a negative cash balance, said Somanda Finance Secretary, adding levies to gasoline and diesel will not have an impact on the flow of resources to countries that cannot be shared.
“This fully loses income for the center,” he said.
For the center, a higher capex has become the main theme.
The government hopes to lead to higher demand for steel, cement and other inputs, and create jobs.
Sitharaman said 11 states, including Andhra Pradesh, Bihar, Chhattisgarh, Madhya Pradesh and Kerala, had reached their target capex for the first quarter.
FM said the interaction was to get a perspective from countries in terms of steps that might be needed and their expectations.
During the meeting, FM said the state must take advantage of profitable investor perceptions.
“Sitharaman urges the country to help India the fastest growing economy in the coming years through facilitating the appeal of investment and accelerating business steps that facilitate and carry out power reforms relating to the reduction of AT & C (ACS-RRR losses) and ACS- RRR.
Sitharaman increasingly emphasizes that because in many land cases is one of the main obstacles for projects in the field, countries must try to facilitate land acquisition procedures and create land banks to be tapped at the time of investment, “official statement said.
On their side, countries emerge with several suggestions, such as affidavitbase permit systems, which are already in Karnataka and above, for faster approval.
Country to get additional Rs 47,500 Crore this month: Minister of Finance
