India’s Ministry of Finance recorded a ₹1,09,019 crore (about ₹1.09 trillion) tax transfer to state governments on Aug. 1, 2026, providing an advance ahead of the regular monthly payment later that month.
The Aug. 1 payment was an additional instalment on top of the regular devolution due Aug. 10, according to a ministry notice published by the Press Information Bureau (PIB). The ministry said the added funds were intended to help states strengthen their finances and move capital projects and development spending forward.
Uttar Pradesh received the largest listed allocation, ₹19,208 crore. Bihar was allocated ₹10,845 crore, followed by Madhya Pradesh at ₹8,010 crore, according to the ministry’s state-by-state table.
The Economic Times reported a separate release of the same amount on Oct. 31, 2026. It described the reported payment as the financial year’s second additional instalment and linked it to the festive season. The PIB notice records the ₹1,09,019 crore payment on Aug. 1; it does not confirm a separate transfer on Oct. 31.
A year earlier, the ministry announced an advance of ₹1,01,603 crore for states on Oct. 1, 2025, ahead of the regular payment due Oct. 10. That announcement cited the festive season and state spending on capital, development and welfare programs.
