The finance ministry has extended the deadline till February 15 for states to implement reforms like the one-nation one-ration card and for those in the power sector aiming to become eligible for additional borrowing in the current fiscal, a release said.
The Centre in May had decided to raise the borrowing limit of the states by 2 per cent of their GSDP, over and above the 3 per cent limit set under the Fiscal Responsibility and Budget Management Act. However, states were required to complete four specific reforms — one-nation, one-ration card, ease of doing business reform, urban local body/utility reforms and power sector reforms — by December 31, 2020, to get the benefits.
