Based on the recommendations oftThe 15th Finance Commission (XV-FC) in year 2023-24, the Centre has released Rs 71,889 crore to states under various heads, the Finance Ministry said on Sunday as part of its FinMin Year Review 2024 initiative.
The Centre has granted this fund under the National Disaster Mitigation Fund (NDMF), post-devolution revenue deficit grant, central share of the State Disaster Response Fund, State Disaster Mitigation Fund, grants to local bodies, and as additional central assistance from the National Disaster Response Fund (NDRF).
In a post on the social media platform X, the Finance Ministry shared a breakdown of the funds released, with Rs 18,362.25 crore allocated under the post-devolution revenue deficit grant.
The Ministry has allocated Rs 6,845.04 crore under the urban local bodies grant, Rs 20,847.25 crore under the rural local bodies grant, and Rs 2,894.01 crore under the health sector grant.
The grant under the central share of the State Disaster Response Fund stood at Rs 15,823.20 crore, and Rs 1,385.45 crore under the central share of the State Disaster Mitigation Fund.
Under the central assistance from the National Disaster Response Fund, the Centre has allocated Rs 4,050.93 crore for assistance in severe natural calamities in the states.
For the expansion and modernisation of fire services in the states, Rs 757.39 crore has been granted.
A total of Rs 276.81 crore has been provided under the assistance for preparedness and capacity-building funding window under the NDRF.
Also read: PSBs Record Highest Ever Net Profit For FY 24: FM
The Centre has also released Rs 646.55 crore from the National Disaster Mitigation Fund for the urban flood mitigation project in Chennai city.
The Finance Commission is a constitutional body formed by the President of India to provide suggestions on center-state financial relations.
The Finance Commission normally takes about two years to make its recommendations. As per clause (1) of Article 280 of the Constitution, the Finance Commission is to be constituted every fifth year or earlier.
