The permission has been granted as the state have so far completed the stipulated reforms in the ease of doing business. These states are
In view of the resource requirement to meet the challenges posed by the pandemic, the government had on May 17, 2020 enhanced the borrowing limit of the states by 2% of their GSDP. Half of this special dispensation was linked to undertaking citizen centric reforms by the states.
The four citizen centric areas for reforms identified were implementation of 'One Nation One Ration Card' system, ease of doing business reform, urban local body or utility reforms and power sector reforms.
So far 10 states have implemented the One Nation One Ration Card system, five States have done 'ease of doing business' reforms, and two states have done local body reforms.
Besides additional borrowing permissions, the states completing three out of the four reforms are entitled to get
Under the scheme, an amount of ₹2,000 crore is earmarked for this purpose.
To facilitate more states to undertake the reforms and avail additional borrowings,the Department of Expenditure, Ministry of Finance had recently extended the deadline for the states to complete citizen centric reforms in various sectors. Now, if the recommendation from the nodal ministry concerned regarding implementation of the reform is received by February 15, 2020, the state will be eligible for reform linked benefits, said the statement.
SEE ALSO:
INTERVIEW: Ikea CFO says she still has ₹3,500 crore to be spent in India— the pandemic has changed targets but not the investment plan
India will produce 300 million doses of the Russian Sputnik V COVID-19 vaccine next year
Mrs Bectors Food Specialities IPO allotment: Here’s how to check share allotment status