Which of the following statements is/are correct with reference to the Scheme for Special Assistance to States for Capital Expenditure for 2021-22?
A. The Ministry of Finance has decided to provide an additional amount of upto Rs 15,000 crore to States as interest free 50 year loan for spending on capital projects.
B. Under the Scheme, financial assistance is provided to the State Governments in the form of 50-year interest free loan.
C. Both A& B
D. None of these
Explanation:
The Ministry of Finance, Government of India has decided to provide an additional amount of upto Rs 15,000 crore to States as interest free 50 year loan for spending on capital projects. The Department of Expenditure has issued fresh guidelines in this regard on the Scheme of Financial Assistance to States for Capital Expenditure for the financial year 2021-22. Under the Scheme, financial assistance is provided to the State Governments in the form of 50-year interest free loan. An amount not exceeding Rs.12,000 crore was earmarked for the scheme for the financial year 2020-21, and a sum of Rs.11,830.29 crore was released to the States.
