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What is the impact of Special Assistance Scheme on the capital investment of States in India

Assess the impact of the Special Assistance Scheme on the capital investment of the states and the amount cleared by the Centre for it.
The Special Assistance Scheme (SAS) was introduced in 2016 by the central government of India to provide assistance to states which have lower levels of capital investment and revenue generation. Here are some points to assess the impact of the scheme on capital investment:
  • The SAS has helped to provide additional funds to the states for capital investment, which has increased the overall level of investment in infrastructure and other areas.
  • The states that have received the SAS funds have been able to improve their social infrastructure, such as healthcare and education, which has led to an improvement in the social indicators.
  • The scheme has also led to an increase in public-private partnerships, which has further helped to increase the level of investment in the states.
  • As of 2021, the total amount cleared by the Centre for the SAS is around Rs. 12,500 crores, which has been distributed among the eligible states.
  • The SAS has also helped to reduce regional imbalances, with a focus on providing funds to states that have been historically underdeveloped or less prosperous.
Overall, the Special Assistance Scheme has been successful in providing additional funds to the states for capital investment and has helped to improve the overall level of development in the country.
Answered 2 years ago
Amrita Aspirants