Funds for State Reforms and Development Initiatives

In August 2024, the Centre announced significant financial incentives for states to implement land-related reforms and develop infrastructure during the financial year 2024-25.

Key Points

Funding for Land-Related Reforms: The Centre will provide Rs 10,000 crore to states for implementing land-related reforms in rural and urban areas, including the creation of a Farmers’ Registry with Rs 5,000 crore allocated specifically for this purpose.
Scheme for Special Assistance: These funds will be distributed under the Scheme for Special Assistance to States for Capital Investment 2024-25.
Reforms and Digitization Requirements: States must undertake various land-related reforms, such as assigning Unique Land Parcel Identification Numbers (ULPINs) and digitizing cadastral maps.
Working Women’s Hostels: Rs 5,000 crore has been allocated for constructing working women’s hostels to enhance female workforce participation.
Hostel Allocations: The largest allocations for working women’s hostels will go to Uttar Pradesh (Rs 382 crore), followed by Madhya Pradesh (Rs 284 crore) and Assam (Rs 226 crore).
Additional Fiscal Support: The Centre will also allocate funds for various other initiatives, including Rs 2,000 crore for iconic tourist centers, Rs 3,000 crore for scrapping old vehicles, Rs 15,000 crore for industrial growth, Rs 1,000 crore for the National Capital Region (NCR), and Rs 25,000 crore in incentives for capital expenditure targets.