85. The benefit of reduction in interest rates on Small Savings Deposits will be fully passed on to the States. This will reduce their borrowing cost from Small Savings by 100 to 150 basis points. In addition, I am also reducing the interest rate on loans portion of Central assistance to State Plans by 50 basis points. Alignment of interest rates on GPF by the State Governments along with the reduced provident funds interest rates at the Centre will further reduce the interest burden of State Governments. Moreover, because of the anticipated increase in gross tax collection of the Centre, devolution of central taxes to States is expected to increase by over Rs 9000 crore in 2001-02 over the current year. All these measures will help in reducing the debt burden of the States and improve their fiscal position.