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GST: 13 states opt for Centre’s proposal of borrowing

Thirteen states have submitted their borrowing options to the Centre to meet the GST revenue shortfall. Of the 13 states, 12 have preferred to opt for borrowing from the special window facilitated by the Reserve Bank of India (RBI). These states include Andhra Pradesh, Bihar, Uttar Pradesh, Gujarat, Haryana, Karnataka, Madhya Pradesh, Meghalaya, Sikkim, Tripura, […]

Thirteen states have submitted their borrowing options to the Centre to meet the GST revenue shortfall. Of the 13 states, 12 have preferred to opt for borrowing from the special window facilitated by the Reserve Bank of India (RBI). These states include Andhra Pradesh, Bihar, Uttar Pradesh, Gujarat, Haryana, Karnataka, Madhya Pradesh, Meghalaya, Sikkim, Tripura, Uttarakhand and Odisha. Meanwhile, Manipur has far opted for borrowing from the market. In the current fiscal, the total shortfall in GST collection by the states was estimated at Rs 2.35 lakh crore. Of this, as per the Centre’s calculation, about Rs 97,000 crore is on account of GST implementation and rest Rs 1.38 lakh crore is the impact of coronavirus pandemic on states’ revenues.

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