Kohima, April 01 (NEx): The Ministry of Finance, Government of India, released ₹45,000 crore as additional devolution to 28 States in Financial Year 2020-21, including Nagaland. The amount was released to share the revenue buoyancy seen in Q4 2020-21 and in the true spirit of fiscal federalism, the Finance Ministry notified.
Finance Ministry stated that this is an increase of 8.2% over RE 2020-21. As per RE 2020-21, ₹5,49,959 crore, being 41% of the shareable pool of taxes and duties were estimated to be released to the States. However, Ministry of Finance has devolved an amount of ₹5,94,996 crore, based on the initial estimates of shareable pool that would be collected in 2020-21, it said.
The additional amount of ₹45,000 crore was released in two instalments of ₹14,500 crore and ₹30,500 crore. ₹14,500 crore was released along with the 14th regular instalment of devolution on March 26th, 2021, whereas the second instalment of ₹30,500 crore was released to the States on March 31st, 2021, it added.
Nagaland had received Rs 258 crore as additional Devolution. The overall releases in the financial year 2020 – 21 for Nagaland is Rs 3,409 crore, including the additional devolution.