newspop
New Delhi : In a major financial boost ahead of the festive season, the Centre has released an additional ₹1,09,019 crore to State Governments under the tax devolution mechanism, strengthening their financial resources for development and welfare activities.
The latest disbursement comes over and above the regular monthly tax transfers and marks the second additional instalment released during the current financial year.
The additional funds are expected to improve the financial position of state governments, enabling them to accelerate infrastructure projects, expand public services and meet ongoing expenditure commitments.
Uttar Pradesh received the highest allocation of ₹19,208 crore, followed by Bihar with ₹10,845 crore and Madhya Pradesh with ₹8,010 crore. The funds have been distributed among all 28 states according to the established tax devolution formula.
The timely release is expected to provide states with greater financial flexibility to speed up development projects, strengthen welfare programmes and boost regional economic activity during the festive period.
The move also highlights the Centre’s emphasis on cooperative federalism, ensuring that states have additional resources to drive infrastructure development and improve public services across the country.
