The Centre on Monday released ₹6,000 crore to States as compensation for implementing the Goods and Services Tax, after raising the funds through a special borrowing window to meet the compensation shortfall.
The Finance Ministry said that ₹78,000 crore out of the ₹1.1 lakh crore of GST compensation, to be raised through borrowings for this year, has now been disbursed to 23 States and the three Union Territories with legislative assemblies — Delhi, Puducherry and Jammu & Kashmir. “The amount released this week was the 13th instalment... borrowed at an interest rate of 5.3083%,” it said.
