Centre releases over Rs 2,461 crore as 15th Finance Commission grants to eight states

The Ministry of Finance announced that the central treasury has disbursed a total of over Rs 2,461 crore to eight beneficiary states under the recommendations of the 15th Finance Commission. The allocation, which forms part of the central share of taxes and other resources, is intended to strengthen the fiscal capacity of the states and support development projects as outlined in the commission's report. The eight states receiving the funds have not been listed in the brief release, but the disbursement follows the commission's formula that balances vertical fiscal transfers based on population, fiscal effort and other criteria. The Finance Ministry said the funds will be transferred to the respective state treasuries within the next few weeks, and will be accounted for in the upcoming Union budget. This is the first major tranche of the 15th Finance Commission grants, marking a significant step in implementing the commission’s recommendations for a more equitable fiscal federalism.