The Union Government has announced the release of ₹1,78,173 crore in tax devolution to State Governments on October 10, 2024. This amount includes the regular instalment for October, which totals ₹89,086.50 crore, along with an advance instalment of the same value. The decision to release an advance payment has been made in light of the upcoming festive season and to support the states in accelerating capital spending and financing development and welfare-related expenditure.
This timely fund release aims to empower states to address their financial needs effectively and encourage infrastructure development as well as welfare projects. It is expected to aid the states in managing their budgets more efficiently during a time of increased financial demand due to festivals.
The state-wise distribution of funds includes ₹31,962 crore for Uttar Pradesh, the highest amount among all states, followed by Bihar receiving ₹17,921 crore, and West Bengal receiving ₹13,404 crore. Other notable recipients include Maharashtra with ₹11,255 crore and Rajasthan with ₹10,737 crore.
This move reflects the government’s commitment to supporting states in their growth and development efforts, while ensuring that they are well-prepared for the upcoming festive season.
