Panaji: As govt braces for the steep rise in loan repayment over the next five years, it is turning to the Guarantee Redemption Fund (GRF) to help manage the debt that piled up over the last 15 years. Govt explicitly tweaked the rules to permit the use of this contingency fund, allowing the use of surplus funds for debt management. The decision moves the GRF from a strictly contingent-liability reserve toward an instrument that can be tapped proactively to repay loans once a surplus exists.A corrigendum bringing this tweak into effect was issued on Thursday, where the finance department modified two key clauses of the GRF scheme. The change permits govt to withdraw any amount in excess of 5% of the accumulated GRF corpus.The GRF,…
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