Puducherry, Puducherry Chief Minister V Narayanasamy on Thursday urged Prime Minister Narendra Modi to either borrow money from the open market or RBI to compensate the states and union territories for the revenue loss occurred to them due to implementation of the GST.In a letter to the Prime Minister, Mr Narayanasamy said that in the GST council meeting held on August 27, 2020, most of the states pleaded for the early disbursement of Goods and Service Tax compensation as the economy of the states has shrunken due to COVID-19. It is a statutory commitment by the Government of India that if the compensation cess is not accruing, the GST compensation of 14 per cent cap will be paid by the Central Government, is the solemn assurance given by the Government of India to the states by the then Union Finance Minister Arun Jaitley while accepting the proposal of the Government of India to levy GST and while giving up the power to tax by the State to the Centre.In the 7th, 8th, 9th and 10th GST Council Meeting, it was deliberated and the Former Union Finance Minister Arun Jaitley clearly told in the committee that the Government of India will compensate the States for revenue losses occurring to the states due to non-receipt of compensation cess. Therefore, it is the bounden duty of the Government of India to compensate the states by their own resources.Ms Nirmala Sitharaman had put forth two options for the states to borrow and most of the opposition ruling states rejected the proposal. When it is the primary responsibility of the Central Government to pay the GST compensation to the states, passing the burden on the states to borrow from the market, will affect the FRBM and also the fiscal deficits of the State Governments, Narayanasamy said.Stating that there are a lot of advantages for the Government of India borrowing the money and paying the compensation to the States, Narayanasamy said that therefore, Puducherry is joining hands with the other opposition ruling States in the issue.