Overview
- The government announced on Oct. 31 that it has released an additional instalment of ₹1,09,019 crore to state governments, marking the second such top-up in FY27.
- The payment is over and above regular monthly tax devolution and repeats an identical ₹1.09 lakh crore release made in August to boost state cash flows.
- Uttar Pradesh received the largest share at ₹19,208 crore, followed by Bihar at ₹10,845 crore and Madhya Pradesh at ₹8,010 crore, with detailed state-wise allocations published by the Finance Ministry.
- The transfer comes against a mid-year central fiscal picture showing a fiscal deficit of ₹7.14 lakh crore for April–September and revenue receipts of ₹17.57 lakh crore, figures the government cited when announcing the release.
- Officials said the funds are intended to accelerate capital spending and support development and welfare outlays before the festive season, which could speed project rollouts and ease short-term state liquidity pressures.