Telangana Govt Accepts Centre’s Option 1 Amid GST Shortfall
The state government announced that it has accepted Option 1 on Tuesday, 17 November.
The Telangana Government has accepted Centre’s borrowing proposal to meet GST revenue shortfall and will be receiving ₹2,380 crore through the special window, reported Livemint.
According to Livemint, the State government announced that it has accepted Option 1 on Tuesday, 17 November.
This development means that Telangana has now joined 22 other states and three Union Territories, on behalf of whom the Centre had already borrowed ₹18,000 crore, in opting for Option 1, reported Livemint, citing the Ministry of Finance.
The Ministry further, according to Livemint, informed that the Government of India on Tuesday granted the State Government of Telangana additional borrowing permission of ₹5,017 crore (0.5 per cent of Telangana’s GSDP).
Other states and UT’s which have opted for Option 1 are:
- Andhra Pradesh
- Arunachal Pradesh
- Himachal Pradesh
- Madhya Pradesh
- Tamil Nadu
- Uttar Pradesh
- Jammu and Kashmir
Rajasthan on Thursday, 5 November, became the first Congress-ruled state to opt for Option 1 of the borrowing plan to meet the GST Compensation shortfall.
(With inputs from Livemint)
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