By TIOL News Service

NEW DELHI, FEB 11, 2021: GOA has become eligible to mobilise additional financial resources of Rs. 223 crore after successfully undertaking the Finance Ministry's Urban Local Bodies (ULB) reforms. In doing so, it has joined five other States namely, Andhra Pradesh, Madhya Pradesh, Manipur, Rajasthan and Telangana, who have also completed the ULB reforms, said the ministry on Thursday.

The reforms aim at financial strengthening of ULBs in the State and enable them to provide better public health and sanitation services to citizens.

"Economically rejuvenated ULBs will also be able to create good civic infrastructure," said the ministry.

On completion of this set of reforms, the six States have been granted a total additional borrowing permission of Rs. 10,435 crore.

The government had enhance the borrowing limit of the States in May last year, to meet the economic challenges posed by the COVID-19 pandemic. Half of the special dispensation, 1 per cent of the Gross State Domestic Product (GSDP) was linked to them undertaking citizen-centric reforms in the One Nation One Ration Card system, ease of doing business reform, urban local body and utility reforms, and power sector reforms.

Till now, 17 States have carried out at least one of the four stipulated reforms and have been granted reform linked borrowing permissions of Rs. 76,512 crore.