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    Will talk to Japan on increasing basmati rice exports from India: Goyal
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August 27, 2026
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Basmati rice market access may be pursued through trade agreement review, subject to import limits and safety standards.
Market access for Indian basmati rice may be pursued through review of the Comprehensive Economic Partnership Agreement, as rice remains a sensitive sector subject to import quantity limits and duties beyond permitted quantities. Processed food exports offer further opportunities where exporters comply with Japanese quality and safety standards. Bilateral cooperation also covers investment, supply chains, technology partnerships and capital flows supporting infrastructure, manufacturing and semiconductor ecosystems.
August 27, 2026
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Capital allocation discipline governs consideration of further Air India funding alongside business strategy, cash flow and investment requirements.
Further capital investment in Air India will be evaluated by Singapore Airlines' board through a disciplined capital-allocation process. Assessment will consider the group's capital requirements, Air India's business strategy, operating cash flow, investment needs for aircraft and products, and multi-hub investments intended to support long-term growth and returns. As a significant minority shareholder, Singapore Airlines supports Air India's transformation programme with Tata Sons, but no commitment to provide additional capital is indicated.
August 27, 2026
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Semiconductor investment cooperation anchors expanded India-Japan industrial partnerships across technology, manufacturing, clean energy, infrastructure, and financial services.
Semiconductor and artificial-intelligence cooperation centres on a six-pillar semiconductor strategy encompassing chip design, semiconductor machinery and materials, fabrication, ATMP/OSAT, research and development, and talent development. Japanese participation is sought across semiconductor materials and equipment, power semiconductors, electronics, AI, logistics and related advanced technologies. Development of semiconductor clusters is linked to reliable power, ultra-pure water, skilled manpower and social infrastructure.
August 27, 2026
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Financial inclusion through basic bank accounts enables direct welfare transfers, digital payments, insurance access and credit for excluded households.
PMJDY provides unbanked adults with basic bank accounts without minimum-balance or maintenance-charge requirements, free RuPay debit cards with accident insurance cover, and eligible overdraft support. Through the JAM framework, PMJDY accounts enable direct transfer of welfare benefits using bank accounts, Aadhaar-based biometric verification and mobile connectivity, reducing intermediary involvement and delays. The scheme emphasises rural, semi-urban, marginalised and women account holders while supporting access to insurance, pensions, savings, digital payments and credit, including MUDRA loans.
August 27, 2026
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Contract food services expansion strengthens Rassense's nationwide institutional operations through new academic partnerships and technology-led service delivery.
Rassense Pvt Ltd reports crossing a workforce of more than 5,000 employees and projects revenue exceeding INR 600 crore. Its contract food services operations serve educational institutions, corporate campuses, healthcare facilities and industrial locations. New operations at IIM Jammu, IIM Bangalore and IIT Guwahati strengthen its nationwide institutional presence. Expansion is supported by academic institution partnerships, local workforce development, operational excellence, and technology-led capabilities in food production, food waste reduction and supply-chain management.
August 27, 2026
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Cyber fraud awareness promotes safe digital banking by teaching customers to verify communications, protect credentials, and report suspicious transactions.
Cyber-fraud awareness and digital banking safety were promoted through community sessions addressing phishing, impersonation, OTP and UPI fraud, QR-code scams, digital-arrest fraud, and fraudulent customer-care calls. Participants were guided to identify authentic banking communications, avoid sharing confidential credentials, verify callers and links before acting, and promptly report suspected unauthorised transactions. Customer vigilance, financial literacy, and institutional security measures were emphasised as complementary safeguards against digital financial fraud.
August 27, 2026
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Personal insolvency repayment plans may be approved despite minimal creditor recovery when requisite voting support and comparative valuation support them.
Personal insolvency repayment plan approval was granted under the Insolvency and Bankruptcy Code, 2016, despite objections that creditor recoveries were negligible and the proposed payment uncertain. The plan received 80.81 per cent voting support, while dissenting creditors held less than 20 per cent voting share. Valuation showed that the debtor's personal estate was materially below the offered amount, and rejection could result in bankruptcy and lower recovery. Assessment of settlement adequacy was treated as a matter of creditor commercial wisdom.
August 27, 2026
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Prison escape security lapses prompt coordinated tracing measures, transport monitoring, inter-state alerts, and a detailed custodial-security inquiry.
Prison escape and custodial-security lapses arose after a detainee escaped from Aluva Sub Jail, allegedly by using an under-construction structure within the premises to cross the compound wall. Following his later appearance at a police station seeking return of his Aadhaar card, search measures included a lookout circular, information sharing with police stations, railway-security coordination, and alerting police in Assam. A detailed inquiry has been initiated into the prison-security deficiencies enabling the escape.
August 27, 2026
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Women's savings account selection depends on practical benefits, charges, eligibility, and banking needs rather than the account label.
Women's Savings Accounts may provide standard banking facilities together with additional services or benefits for eligible women. Their suitability depends on practical use of digital banking, transfers, payments, alerts, debit-card facilities, accessibility, security features, charges, and minimum-balance conditions. Since regular Savings Accounts may offer comparable facilities, the additional benefits should be assessed against associated costs and conditions. Selection should be based on comparison of eligibility, facilities, balance requirements, benefits, customer support, and authentication safeguards rather than the account's women-focused label alone.
August 27, 2026
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Retirement annuity selection prioritises payout structure, taxation, insurer strength and flexibility over brand comparison for informed retirement decisions.
Retirement planning may combine market-linked accumulation during working years, deferred annuities that lock future guaranteed income, and immediate annuities that convert retirement savings into regular payments. Annuity choice depends on whether the priority is higher income, continuation for a surviving spouse, or return of capital on death. Product comparison should consider market-linked growth versus income certainty, taxation of annuity income at applicable slab rates, insurer strength, and flexibility in deferment, payout frequency and policy loans.
August 27, 2026
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Foreign exchange inflows through deposit and borrowing measures provided near-term rupee support amid lower crude prices.
Reserve Bank special measures relating to FCNR(B) deposits, Overseas Foreign Currency Borrowings and External Commercial Borrowings were identified as attracting foreign-exchange inflows and providing near-term support to the rupee. The Reserve Bank became a net dollar buyer in June after two months of sales to support the rupee. The FCNR(B) window remained open until August 31, while the market outlook anticipated broader rupee depreciation over subsequent weeks.
August 27, 2026
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Preferential trade agreement exploration advances bilateral market access, pharmaceutical cooperation, investment partnerships, and diversified trade.
India-Morocco economic cooperation is expanded through the seventh Joint Commission framework, targeting deeper and more diversified trade, investment, industrial collaboration and market access across goods and services. An India-Morocco Joint Working Group is to examine bilateral trade opportunities and the feasibility of a preferential trade agreement, including tariff and non-tariff barriers, improved market access and trade facilitation. Cooperation also addresses pharmaceutical market authorisation and approval timelines, food safety, sustainable agriculture, renewable energy, artificial intelligence, healthcare, and phosphates and fertilisers.
August 26, 2026
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Hybrid cyber fraud exploits stolen smartphones and intercepted verification codes to compromise digital banking and payment accounts.
Hybrid cyber fraud combines physical smartphone theft with digital financial exploitation. Offenders obtain screen-lock credentials, steal devices and use control of the active SIM card to intercept verification codes and reset UPI and digital banking credentials. Preventive measures include withholding PINs, passwords and OTPs; avoiding storage of financial and identity records on phones; and immediately blocking the SIM card and freezing digital banking and UPI services after a theft.
August 26, 2026
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CEPA review aims to expand bilateral trade engagement, address export barriers, and support regulatory registrations for exporters.
India and Japan are considering a review of the Comprehensive Economic Partnership Agreement to make the bilateral trade framework more contemporary and expand its scope, scale and commercial opportunities. The review is linked to balanced trade and to identifying export barriers arising from procedural requirements, language issues and time involved in market access. Regulatory compliance assistance may support product registrations required for overseas markets, including costly chemical registrations and pharmaceutical registrations.
August 26, 2026
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Personal loan reward eligibility depends on successful campaign-period disbursal, alongside review of borrowing costs and repayment capacity.
Loan Utsav 2026 provides a limited-period reward bundle to eligible customers whose personal loan is successfully disbursed during the campaign period, subject to applicable terms and conditions. Personal loans are collateral-free and available subject to eligibility, customer profile, documentation and applicable loan terms. Applicants may choose a loan amount and repayment tenure based on their requirements. Extended tenures can reduce monthly EMI obligations but may increase total interest payable. Customers should review interest rates, EMI, processing charges, other loan costs and repayment capacity before accepting a loan offer.
August 26, 2026
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Deep-tech investment cooperation advances through capital corridors, innovation bridges, manufacturing integration and startup pitching platforms for cross-border growth.
India-Japan startup cooperation is proposed to advance through a deep-tech capital corridor, a two-way innovation bridge, manufacturing and technology integration, and joint startup pitching platforms. Collaboration is directed towards patient capital, early-stage research, deep-tech commercialisation, technology validation, precision manufacturing, investment and market access. The partnership also emphasises MSME integration with startups and global supply chains, co-investment mechanisms, plug-and-play infrastructure, and institutional links among universities, research institutions, incubators and industry.
August 26, 2026
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Sugar price-control measures combine raw-sugar imports, stockholding limits and export restrictions to curb retail price pressures.
Sugar price-control measures combine authorised raw-sugar imports, stockholding limits for dealers and bulk consumers, and an existing export prohibition to address elevated domestic prices. Imports are permitted within the specified period, while stockholding restrictions seek to curb speculation and hoarding. Retail prices continued to rise despite lower ex-mill prices, and the regulatory approach focuses on augmenting supply, limiting stock accumulation, and preventing export-related pressure on domestic availability.
August 26, 2026
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Alternative dispute resolution enabled settlement of long-pending disputes, alongside reporting on court administration and regulatory compliance concerns.
Legal developments include resolution of long-pending tenancy, commercial and property disputes through a special Lok Adalat mechanism, including a digitally signed international settlement. Other matters concern a challenge to a riot-related murder conviction, allegations of administrative irregularities and selective case listing, fast-track court pendency, cancellation of a recruitment process following suspected examination malpractice, fraudulent identity documents used to claim citizenship, medical-qualification standards, and opposition to uranium exploration and mining.
August 26, 2026
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MSME co-lending supports digital paperless credit delivery through rural banks for underserved rural and semi-urban enterprises.
SIDBI-RRB MSME co-lending arrangement is proposed for expansion to increase credit access for micro, small and medium enterprises in rural and semi-urban areas. The arrangement combines SIDBI's understanding of MSME credit requirements with Regional Rural Banks' local reach. SIDBI's Co-Lending Origination Platform provides an end-to-end digital credit process intended to enable faster, paperless loan processing, in-principle sanction communication, documentation and direct account disbursement without branch visits.
August 26, 2026
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Input tax credit mismatch alone cannot support fraud-based GST demand without an assessing officer's recorded satisfaction of fraud or suppression.
Section 74 GST demand proceedings require the assessing officer's independent satisfaction of fraud, wilful misstatement or suppression of facts. An input tax credit mismatch or alleged short payment alone cannot establish these conditions. Unsupported assertions of suppression for invoking extended limitation are insufficient, and audit objections cannot replace the assessing officer's satisfaction. A show cause-cum-demand notice lacking factual allegations of a deliberate device to evade tax or avail excess input tax credit is vulnerable.

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Ministry of Finance Year Ender 2023: Department of Expenditure

December 27, 2023

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In the dynamic landscape of fiscal management, the Department of Expenditure (DoE) oversees the public financial management system in the Central Government and matters connected with State finances.

Implementing the recommendations of the 15th Finance Commission, DoE approved grants-in-aid totalling Rs. 1,79,140 crore to State Governments for the fiscal year 2023-24. These grants encompass various crucial sectors such as post-devolution revenue deficit, health, disaster management, and local bodies, demonstrating a comprehensive approach to regional development.

Through, the Data Gap Initiative, initiated in response to the 2007-08 global financial crisis, the Controller General of Accounts transitioned India's statistical system from ‘RED’ to ‘AMBER’, aligning with international standards. This commitment to transparent and comparable government finance statistics reflects the nation's resilience in anticipating and addressing vulnerabilities.

The Public Financial Management System (PFMS) has been a cornerstone in the implementation of Direct Benefit Transfer (DBT), a crucial aspect of the Digital India Initiative. With over 104.02 crore beneficiaries registered under various schemes, PFMS has facilitated the efficient transfer of funds, with an emphasis on real-time tracking and accessibility. The DBT Payment Summary since its inception showcases a substantial increase in both the number of schemes and the amount disbursed, underlining the system's impact.

Furthermore, the integration of treasury systems across States and Union Territories through the Single Nodal Account (SNA) framework has streamlined fund flow and expenditure tracking. The GIFMIS Vertical, eGramSwaraj Interface, and initiatives like SNA-SPARSH and the Central Nodal Account (CNA) Implementation exemplify the commitment to e-Governance and digital transformation.

The Special Assistance to States for Capital Expenditure, with its multi-faceted approach, stands out as a strategic move to boost state economies. This includes untied funds, incentives for scrapping old vehicles, urban planning reforms, financing reforms in urban local bodies, and housing initiatives.

In the pension domain, the Central Pension Accounting Office's (CPAO) innovative initiatives, including the DIRGHAYU Mobile Application and Virtual Pension Adalat, demonstrate a commitment to addressing the needs of pensioners efficiently.

Lastly, the Vivad Se Vishwas Scheme, introduced in the Union Budget 2023-24, has provided relief to MSMEs and sought to settle pending contractual disputes, further fostering economic stability. These achievements collectively underscore the Department of Expenditure's unwavering commitment to fiscal prudence, transparency, and inclusive development in the year 2023.

Following are some of the major achievements of the Department of Expenditure, Ministry of Finance, in 2023:

Data Gap Initiative

In 2009, the G-20 Finance Ministers and Central Bank Governors endorsed the ‘Data Gap Initiative’ (DGI) to address gap in data revealed by 2007-08 Global financial crisis. The crisis underscored the importance of reliable, timely and internationally comparable Government Finance Statistics (GFS) data on the general government for early detection of sources of vulnerability and taking timely corrective measures.

The Controller General of Accounts (CGA) plugged the gap in India's Statistical System by transitioning from 'RED' to ‘AMBER' label, showcasing the Ministry of Finance, Government of India's commitment of sharing reliable, timely and internationally comparable data as per DGI Recommendation.

The data was presented in conformity with the definitions of the Government Finance Statistics Manual, 2014 (GFSM 2014) by the CGA in coordination with the Department of Expenditure and Department of Economic Affairs, MoF, as well as IMF-SARTTAC (South Asia Regional Training and Technical Assistance Centre) to the International Monetary Fund (IMF).

Direct Benefit Transfer (DBT) Through Public Financial Management System (PFMS)

Through Public Financial Management System [PFMS]

  • Public Financial Management System (PFMS) makes a direct and significant contribution to the Digital India Initiative of Government of India enabling Direct Benefit Transfer for beneficiaries for Ministries/departments in Government of India.

DBT Through PFMS Aims to Achieve

  • Complete tracking of realisation of funds from its release to credit into the bank account of intended beneficiaries.
  • 'Just in time' transfer of funds.

Direct Benefit Transfer (DBT)

  • Payments in 1,016 schemes, including state schemes, are made through PFMS.
  • PFMS-External System Integration: More than 113 payment systems in India are integrated with PFMS.

Almost all the Centrally Sponsored Schemes (CSS) and Central Sector Schemes (CS) are on the PFMS and all the Major Banks including RBI have interface with PFMS.

Direct Benefit Transfer Payment Summary Since Inception

Financial Year

Number of schemes

Total transactions

(in cr)

Amount Paid

(in lakh cr)

2014-15

56

2.19

0.06

2015-16

90

6.75

0.22

2016-17

162

10.11

0.31

2017-18

296

16.55

0.90

2018-19

414

50.97

1.39

2019-20

507

102.37

2.46

2020-21

603

126.88

2.89

2021-22

891

190.36

3.14

2022-23

1081

266.14

3.29

2023-24
(upto 30.11.2023)

1016

167.94

2.14

 

Major Highlights of Direct Benefit Transfer

  • More than 104.02 crore beneficiaries registered under various DBT schemes as of September 2023.
  • Rs. 37,844.42 crore paid through 18.92 crore transactions under Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) Yojana during the FY 2023-24 till November 2023.
  • On boarding of PAHAL scheme of MoPNG on PFMS:
  • The payment for PAHAL (Pratyaksh Hastantarit Labh) gas subsidy started w.e.f 1st August 2021 onwards having largest number of beneficiary i.e. over 30 crore.
  • Rs. 8,142.49 crore paid under the scheme through 76.95 crore transactions during FY 2023-24 till November 2023.
  • DBT Tracker:
    • With an average 17,200 hits per day, payment tracker (Beta Version) has successfully met the needs of beneficiaries since its deployment on August 23,2023. Total hits as on 05.12.2023 is 21,00,764.

  • Sending Sms To DBT Beneficiaries Across All Schemes
  • PFMS sends SMS of transactions under various DBT schemes to ensure more and more citizen centric services for DBT Beneficiaries.
  • As in November 2023 around 4,66,50,704 SMS sent under 412 DBT Scheme in FY 2023-24.

National Scholarship Portal

  • To enable scholarship beneficiaries to know their Credit status, PFMS has developed and deployed the 'Track NSP Payment' Status for scholarship payments functionality.
  • The 'one stop' portal for Indian students applying for scholarships aims to reduce discrepancies and provide a common, effective and transparent way to disburse scholarships by bringing together hundreds of scholarships run by Central and State Governments.

 

SINGLE NODAL ACCOUNT (SNA)

  1. Integration of treasury systems across various States and Union Territories (UTs)
  • Full seamless Treasury Integration (TI) achieved across all 31 State Treasuries
  • Budget and expenditure data are consistently exchanged in the new format through an API, maintaining regular and effective data flow.
  • The TI interface allows observation of State Treasuries w.r.t. transferring funds to Single Nodal Account (SNA) within specified timelines in compliance with the Department of Expenditure Office Memorandum dated 23/03/2021
  • Share of states and Central are displayed separately with date-wise listing of SNA releases.

  1. SINGLE NODAL ACCOUNT (SNA) IMPLEMENTATION
  • All schemes successfully onboarded by PFMS.
  • 4,396 schemes onboarded on SNA Module of PFMS for all Centrally Sponsored Schemes (CSS) across all the States and UTs.
  • Standalone systems like Samagra Shiksha, National Health Mission etc. used by the states are also integrated for MIS with PFMS.
  • New CSS framework SNA module fully operationalised in all the States.
  • SNA ensures efficient cash management and reduces float in the system.
  • CSS fund flow monitoring and tracking through SNA.

 

Central Nodal Account (CNA) Implementation

  • Procedure of release of funds under Central Sector Schemes (CS) revised on 09.03.2022.
  • CS fund flow monitoring and tracking through Central Nodal Account (CNA) module of PFMS.

CNA Implementation MODEL 1

  • Release funds through Reserve Bank of India for the Central Sector Schemes having GBE greater than Rs. 500 crore
  • 57 schemes onboarded under Model 1 till date on PFMS.

CNA Implementation MODEL 2

  • Release funds through Scheduled Commercial Banks (SCB) for the Central Sector Schemes having GBE less than Rs. 500 crore.
  • 210 schemes onboarded under Model 2 till date on PFMS.

eGramSwaraj Interface with PFMS

  • To strengthen e-Governance in Panchayati Raj Institutions (PRIs) across the country, Ministry of Panchayati Raj (MoPR) currently implements a user friendly web-based portal eGramSwaraj to bring in better transparency in the decentralised planning, progress reporting and work-based accounting.
  • Public Finance Management System (PFMS), Department of Expenditure, facilitates seamless payment processes for Panchayats through the eGramSwaraj portal.
  • PFMS eGramSwaraj integrated with over 2.63 lakh Panchayats out of 2.78 lakh (Zila, Gram, Block panchayats and Tribal Local Bodies) onboarded for their payment transactions.
  • PFMS operates in a seamless two-way data flow - information from Panchayats (received through PFMS-State treasury systems module) is automatically populated on the eGramSwaraj portal.
  • PFMS notifies interest credited to Panchayats by banks.

 

Government Integrated Financial Management System (GIFMIS) Vertical

  • GIFMIS was developed by PFMS in support of the Digital India Initiative of the Prime Minister.
  • GIFMIS enables end-to-end digital processing of all other types of payees of Government.
  • As part of end of end digitalisation of payments, eBill module was developed under GIFMIS on PFMS platform.
  • e-bill System for Central Government Ministries was launched on 02/03/2022.
  • GIFMIS rolled out in 447 Pay and Accounting units of 52 Ministries/ Departments and 6 UTs without Legislature.
  • Majority of payment units of all Civil Ministries/Departments covered in this Financial Year.

Advantages of Government Integrated Financial Management System (GIFMIS) Vertical:

  • Convenience to vendors/suppliers/contractors in submitting bills/claims without physically approaching the offices
  • Shorter bill payment cycle after delivery of store/services
  • Online tracking of the bill position by vendors/suppliers/contractors
  • More effective audit trails in the payment system
  • Promoting Digital India & reducing carbon footprint by paperless system
  • Effective tool to Government disbursements in pandemic-like situations

 

SINGLE NODAL ACCOUNT - SNA-SPARSH

  • SNA SPARSH has been developed under GIFMIS on the PFMS platform to facilitate 'Just-in-time' releases under Centrally Sponsored Schemes and is currently being piloted.
  • Aims to achieve 'Just-in-time' fund flow from Centre and State Consolidated Funds through an integrated network of State IFMIS and e-kuber of RBI.
  • Facilitates more effective cash management.

Key features:

  • The Union Government's share in fund release based only on incurred actual expenditure followed by a claim against the expenditure.
  • State's account to be pre-funded with Union Government's share before making the payment to the end beneficiary.

Onboarded States: Rajasthan, Karnataka and Odisha

PILOT at advanced stages of implementation, to be rolled out soon: Telangana, Jharkhand, Chhattisgarh, Assam, Gujarat, Bihar, and Andhra Pradesh

SNA SPARSH schemes for Phase 1 pilot roll out: Rashtriya Uchchattar Shiksha Abhiyan (RUSA) and Swachh Bharat Mission (Grameen) (SBM -G)

SNA SPARSH schemes for Phase 2:

  • Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM ABHIM)
  • Pradhan Mantri Matsya SampadaYojna (PMMSY)
  • Pradhan Mantri Matru Vandana Yojana
  • Conservation of Natural Resources and Ecosystem are to be onboarded on SNA SPARSH in phase 2.

Initiatives by Central Pension Accounting Office (CPAO)

Authorisation of Pension Cases

  • Total Cases 1,01,788
  • New Pension Payment Orders 50,593
  • Revision Pension Cases 51,195

DIRGHAYU Mobile Application

  • App was launched by Union Minister Dr. Jitendra Singh on 27th Feb, 2023.
  • DIRGHAYU App provides various services viz. Downloading of SSA, Status of Grievances, Details of last 24 Transactions in Pension Account etc.
  • Bilingual app available on Google Play Store iOS version under testing.

Virtual Pension Adalat:

  • Two virtual pension Adalat organised in 2023 for prompt and quick redressal of grievances of Central Government Civil Pensioners

Escalation matrix on the CPAO Dashboard

  • CPAO has developed an escalation matrix to ensure timely resolution of grievances. Status of pending grievances is sent to the senior management of CPAO, authorised banks and ministries/ departments via automated e-mail.
  • The Matrix was made live on 23.10.2023.

SPECIAL FACILITATION

  • A Separate Desk for Paramilitary Pensioners/Family Pensioners for faster grievance resolution established in CPAO.

Finance Commission Grants to States

The 15th Finance Commission (XV-FC) has recommended the grants-in-aid of Rs.1,79,140 crore to the State Governments under the following heads for the year 2023-24:

  • Post Devolution Revenue Deficit Grant
  • Grants to Local Bodies
  • Health Sector grant
  • Disaster Management Grants (SDRMF/NDRMF)

Grants released to State Governments under various components during 2023-24:

S/No.

Components

Grants release during 2023-24   (Rs. in crore)

Upto 6th Dec, 2023

1.

Post Devolution Revenue Deficit Grant

34448.64

2.

Urban Local Bodies Grant

12180.19

3.

Rural Local Bodies Grant

20222.88

4.

Health Sector Grant

2760.69

5.

Central Share of State Disaster Response Fund

10234.00

6.

Central Share of State Disaster Mitigation Fund

2147.60

7.

Release of additional Central assistance from National Disaster Response Fund

250.15

 

Grand Total

82744.15

 

Scheme For Special Assistance To States For Capital Expenditure

  • Aims to boost states in capital expenditure through 50-year interest free loan to States.
  • The Scheme was extended in the financial years 2021-22 and 2022-23.
  • An amount of Rs. 11,830.29 crore, Rs. 14,185.78 crore & Rs. 18,195.35 crore released under the Scheme in 2020-21, 2021-22, and 2022-23.
  • Scheme redesigned and expanded on request from states for FY2023-24.
  • An amount of Rs. 1.30 lakh crore allocated including an amount of Rs. 30,000 crore, as an incentive in eight areas.

Scheme For Special Assistance to States for Capital Investment 2023-24

Part-I (untied)

  • Rs. 1,00,000 crore allocated to States in proportion to their share of central taxes and duties.
  • Capital Expenditure amounting to Rs. 91,471.43 crore has been approved for the States of Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Goa, Gujarat, Haryana, Himachal Pradesh, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Odisha, Rajasthan, Sikkim, Tamil Nadu, Telangana, Tripura, Uttar Pradesh, Uttarakhand and West Bengal.
  • Out of which Rs. 57,090.39 crore has been released to eligible States.

Part-II (Incentives for Scrapping of Old Vehicles)

  • Rs. 3,000 crore earmarked for scrapping of State Government vehicles and ambulances older than 15 years.
  • The Scheme incentivises states to:
    • Waive of liabilities on old vehicles
    • Provide tax concessions to individuals for scrapping of old vehicles
    • Set up of automated vehicle testing facilities
  • Capital Expenditure amounting to Rs. 112.50 crore has been approved for the States of Bihar, Chhattisgarh and Punjab.
  • Out of which Rs. 31.25 crore has been released to State of Bihar and Chhattisgarh.

Part-III (Urban Planning Reforms)

  • Rs. 15,000 crore earmarked to promote affordable housing, comprehensive mobility, and conserve Blue-Green infrastructure, for sustainable urbanisation.

Part-IV (Financing Reforms In Urban Local Bodies)

  • Rs. 5,000 crore earmarked to improve creditworthiness of cities (Municipalities / Urban Local Bodies) and making them ready for municipal bonds by incentivising property tax governance reforms and ring-fencing of user charges on urban infrastructure.

Part-V (Housing for Police personnel above or as part of Police Stations in Urban Areas)

  • Rs. 2,000 crore earmarked to increase the housing facility for the police personnel and their families in urban areas thereby saving the time and energy of the police personnel wasted in commuting to reach the place of their duty.
  • Capital Expenditure amounting to Rs. 1,684.80 crore has been approved for the States of Assam, Bihar, Chhattisgarh, Goa, Gujarat, Himachal Pradesh, Karnataka, Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tamil Nadu, Telangana and Uttarakhand.
  • Out of which Rs. 820.97 crore has been released to eligible States.

Part-VI (Construction of Unity Malls)

  • Rs. 5,000 crore earmarked to promote national integration.
  • Incentive to carry forward the concept of "Make in India”.
  • Promotes construction of one Unity Mall per State.
  • Capital Expenditure amounting to Rs. 2,945.64 crore has been approved for the States of Assam, Bihar, Chhattisgarh, Goa, Gujarat, Harayana, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Meghalaya, Nagaland, Odisha, Punjab, Telangana, Tripura and Uttarakhand.
  • Out of which Rs. 1,393.32 crore has been released to these States.

Part-VII (Children and Adolescents’ Libraries & Digital Infrastructure)

  • Rs. 5,000 crore to States for setting up of a physical library with infrastructure for accessing the National Digital Library resources at panchayat and ward level.
  • Capital Expenditure amounting to Rs. 1,942.54 crore has been approved for the States of Assam, Karnataka, Meghalaya and Uttar Pradesh.
  • Out of which Rs. 971.27 crore has been released to these States.

Part-VIII ('Just-In-Time' Release Using RBI'S E-Kuber Model)

  • As on 31st October 2023 capital investment projects of States worth Rs. 96,206.27 crore approved and Rs. 58,494.19 released so far under the Scheme for 2023-24.
  • Under this Part, a State will be eligible for an incentive amount equivalent to 10 percent of the Central share of a Scheme brought under the 'Just-in Time' model through RBI's e-Kuber system.
  • In addition, a State will be eligible for incentive upto Rs. 100 crore if as per SNA reports, more than 95 percent of the releases of the Central share are made by the State Government in 2023-24 to the respective Single Nodal Account (SNA) within the time limit.

Net Borrowing Ceilings (Nbc) For The Year 2023-24

  • Normal Net Borrowing Ceiling for States fixed at 3 percent of Gross State Domestic Product (GSDP), i.e. Rs. 8,59,988 crore, for FY 2023-24 as recommended by Fifteenth Finance Commission [XV-FC].
  • Approval issued for raising Rs. 6,99,016 crore for Open Market Borrowing (OMB) & of Rs. 69,370.81 crore for availing Negotiated Loan during FY2023-24.
  • Further, States allowed extra borrowing ceiling equivalent to employer and employee share of contribution of its employees with actual NSDL/trustee bank as per the guidelines of National Pension Scheme (NPS), over and above the normal net borrowing ceiling of 3% of GSDP, for FY2023-24.
  • Extra borrowing ceiling of Rs. 60,876.80 crore allowed to 22 States in 2023-24 (as on 27.10.2023) for NPS contribution by complying States.

Additional Borrowing Of 0.5% Of GSDP Linked To Performance In Power Sector

  • XV-FC has recommended performance based additional borrowing space of 0.50 percent of Gross State Domestic Product (GSDP) to States in the power sector, over and above the normal net borrowing ceiling.
  • OBJECTIVE 
    • Improves operational and economic efficiency
    • Promotes sustained increase in paid electricity consumption
    • This special dispensation is recommended from 2021-22 to 2024-25
  • FY 2021-22: 12 States permitted Rs. 39,175 crore on basis of stipulated reform criteria
  • FY 2022-23: 6 States allowed of Rs. 27,238 crore
  • FY 2023-24: States eligible for Rs. 143,332 crore (approx), on recommendation of Ministry of Power

S.No.

Name of the State

Amount (Rs. in crore)

2021-22

2022-23

1

Andhra Pradesh

3716

5858

2

Assam

1886

2473

3

Himachal Pradesh

251

-

4

Kerala

4060

4263

5

Manipur

180

-

6

Meghalaya

192

-

7

Odisha

2725

-

8

Rajasthan

5186

6122

9

Sikkim

191

170

10

Tamil Nadu

7054

-

11

Uttar Pradesh

6823

-

12

West Bengal

6911

8352

 

Total

39175

27238

 

Vivad Se Vishwas Scheme

  • Vivad se Vishwas scheme was announced in Union Budget 2023-24

Vivad Se Vishwas I (Relief For MSMEs)

  • Scheme provided relief to MSMEs unable to comply with Central Government contracts due to COVID-19 pandemic.
  • This Scheme was launched on 11th April 2023. Last date for submission of claims was 31.07.2023.
  • As on 01.12.2023, 43,904 claims involving more than Rs. 650 crore by MSMEs settled by the Government.

Vivad Se Vishwas II (Contractual Disputes)

  • This scheme was launched for settling pending public procurement related contractual disputes of Central Government.
  • This Scheme was launched on 29th May, 2023. Last date for submission of claims was 31.10.2023.
  • More than 900 claims worth Rs. 20,000 crore received. Claims worth Rs. 1,652 crore have already been settled and remainder is under examination by the respective Ministries/ Departments/ Organisation.

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Topics

Acts Income Tax