The Department of Expenditure, Ministry of Finance released the 7th monthly installment of the Post Devolution Revenue Deficit PDRD Grant of 7,183 on Thursday. 42 crore was distributed to 14 states. The grant was released as per the recommendations of the 15th Finance Commission. The 15th Finance Commission has recommended a total post-devolution revenue deficit of Rs 86,201 crore to 14 states for the financial year 2022 -- 23.
The recommended grant is released in 12 equated monthly instalments by the Department of Expenditure to the recommended States. With the release of 7th instalment for the month of October, 2022, the total amount of Revenue Deficit Grants released to the States in 2022 -- 23 has gone up to Rs 50,282. There were 92 crore.
The Post Devolution Revenue Deficit GrantsPost Devolution Revenue Deficit Grants are provided to the States under Article 275 of the Constitution. The grants are released to the States as per the recommendations of the successive Finance Commissions to meet the gap in Revenue Accounts of the States post devolution. The states that have been recommended by the Fifteenth Finance Commission for Post Devolution Revenue Deficit Grant during the 2022 -- 23 years are Andhra Pradesh, Assam, Himachal Pradesh, Kerala, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim, Tripura, Uttarakhand and West Bengal.
The eligibility of states to receive this grant and the quantum of grant for the period from 2020 -- 21 to 2025 -- 26 was decided by the 15th Finance Commission based on the gap between revenue and expenditure of the State after taking into account the assessed devolution during this period.