T’puram: The central govt granted Kerala permission to borrow an additional loan of Rs 2,924 crore in recognition of the reforms carried out by the state in the electricity sector. The permission for additional borrowing came as per Article 293(3) of the Constitution, based on the recommendation of the Union energy ministry. Last week, the same amount, equivalent to 0.22% of the gross state domestic product, was approved considering the outstanding performance in the electricity sector. Subsequently, another Rs 2,924 crore was made available to the state due to the timely submission of reform-related documents. The state received a total additional loan approval of Rs 5,848 crore this year, based on Kerala’s performance in the electricity sector. The expenditure department of the Union finance ministry already issued an official notification regarding this matter.
