In a major financial push ahead of the festive season, the Union Government has released an additional instalment of tax devolution amounting to Rs 1,09,019 crore to State Governments.
Disbursed over and above the regular monthly devolution, this marks the second additional instalment released in the current financial year.
The timely financial infusion is designed to equip States with enhanced liquidity, enabling them to significantly accelerate capital spending and efficiently manage ongoing developmental and welfare-related expenditures.
State-Wise Allocations at a Glance
Under this advanced devolution framework, funds have been distributed across all 28 states based on established financial formulas. Uttar Pradesh received the highest allocation at ₹19,208 crore, followed closely by Bihar at ₹10,845 crore and Madhya Pradesh at ₹8,010 crore.
For quick reference, the state-wise breakdown of the funds released is detailed below:
Boosting Regional Infrastructure and Welfare
With festive celebrations underway, this liquidity injection allows state administrations to fast-track regional infrastructure projects, clear vital obligations, and boost local economic activity. Experts note that front-loading these capital transfers underscores the Centre’s commitment to cooperative federalism and balanced grassroots growth.
