Providing some succour to cash-starved Andhra Pradesh, the 14th Finance Commission has recommended to the Centre to allot Rs 22,113 crore to the reorganised State in a phased manner for a five-year period beginning April 1 this year.

The commission recommended a post devolution revenue deficit grants of Rs 1.95 lakh crore for 11 states, including AP for the coming five financial years.

The Centre has in-principle accepted the recommendation of the commission.

Union Finance Minister Arun Jaitley tabled the 14th Finance Commission Report in Parliament on Tuesday.

Though Rs 22,113 cr might not be sufficient for AP, which is claiming a revenue deficit of Rs 16,000 cr for the current financial year, to tide over the crisis it will act as a breather for Chief Minister N Chandrababu Naidu who is under pressure from various quarters to get financial assistance from the Centre to reconstruct the reorganised State.

AP is currently getting Rs 13,000 crore from Planning Commission and the Finance Commission.

The Centre will release the fresh grant for five years as follows: Rs 6,609 cr for 2015-16, Rs 4,930 cr - 2016-17, Rs 2,230 cr- 2017-18, Rs 3644 cr - 2018-19 and Rs 2499 cr - 2019-20.

The Finance Commission also suggested sharing of various taxes with the State.

According to sources, AP government would be looking at Rs 3-4 lakh crore in additional grants for the State during 2015-2020.

“We welcome the decision of the central government to accept the recommendation of the Finance Commission to allocate Rs 22,113 cr to AP. This will be allotted to adjust revenue deficit for five years,” State Finance Minister Yanamala Ramakrishnudu said.

“We will try to convince the Centre that AP needs more funds than what is being contemplated,” he added.