Page 4 - State Borrowing

10 targets that states need to achieve to avail extra borrowing

These targets are under four categories, namely, One-Nation-One-Ration Card, ease of doing business, power sector reforms and urban local body reforms

Imposing pointless conditions on loans will stifle States: Tamil Nadu CM

Palaniswami was referring to conditions put forward by Centre to raise borrowing limits from 3% to 5% of GSDP for this financial year

Fiscal stimulus 2.0: States allowed to borrow more, but with conditions

Officials say states have been sent a memorandum explaining the needed reforms

Covid-19 impact: State govts likely to raise more money using bonds

According to the Reserve Bank of India (RBI) data, state governments' gross market borrowings stood at Rs 6.08 trillion in 2019-20, up from Rs 4.78 trillion in 2018-19.

RBI raises limit on ways and means advances, but states aren't impressed

Ways and means advances (WMAs) are short-term advances the central bank gives to help states tide over temporary mismatches in their cash flow.

Covid-19 impact: States borrow Rs 12,128 cr from bond market at lower rates

The cut-off yield for 10-year state development loans was at 7.60-7.65 per cent, whereas the 10-year government securities closed at 6.50 per cent.

Covid-19: Ease fiscal policy, let states borrow from RBI, says Kerala FM

On Tuesday, Kerala had to offer an interest rate of 8.96 per cent for Rs 6,000 crore market borrowing for state development loan for a 15-year period

Coronavirus impact: Centre's borrowing won't be cheap this time

Wary of supply, bond dealers asked for sharp increase in rates from state governments during Wednesday's auction.

Top headlines: Govt to release GST dues, tea exports to fall, and more

Business Standard brings you top headlines of the day

States can borrow Rs 3.2 trillion in April-Dec after discussions with RBI

The amount that the states have been given permission to raise through open market borrowings is a little more than Rs 3.2 trillion.

Top headlines: MPs take 30% salary cut, service sector activity contracts

Business Standard brings you top headlines of the day

Coronavirus impact: States can now borrow up to 50% of limit in April

Centre's resource crunch owing to dwindling revenues prompts move

Coronavirus impact: States to step up borrowings, April may see 60% jump

The states expect to borrow Rs 55,225 crore from the markets in April, against Rs 34,472 crore raised last year.

States likely to step up borrowing in 4th quarter for social expenditures

Almost all states have raised much more debt than at the same time last year, except Maharashtra.

Borrowing plan: States edge out corporates from bond market

Move may raise borrowing cost for companies across tenures, say experts

States can borrow directly from foreign agencies for infra projects

The Union Cabinet has approved new rules to allow financially sound state government entities to borrow directly from other countries which give Official Development Assistance (ODA) for major infrastructure projects. In such cases, the state government concerned will give a guarantee and the Centre will provide a counter-guarantee. For instance, Mumbai Metropolitan Region Development Authority (MMRDA), a Maharashtra government entity, would be allowed to directly take an ODA loan from Japan International Cooperation Agency (JICA) for the Rs 17,854 crore Mumbai Trans-Harbour Link project. The JICA loan portion is expected to be Rs 15,109 crore. The existing guidelines did not allow direct borrowing by state government entities from external agencies. Finance Minister Arun Jaitley said several state agencies were implementing infrastructure projects of national importance. These projects, even if viable and sound, have huge funding requirements. And, borrowing by state governments for .