Imphal: Manipur recorded a GST revenue deficit of more than Rs 1,200 crore between 2023 and 2026 amid prolonged ethnic conflict, frequent bandhs and economic blockades that disrupted the state’s economy.
The revenue shortfall was discussed at the 57th Goods and Services Tax (GST) Council meeting at Bharat Mandapam in New Delhi on Thursday. Union Finance Minister Nirmala Sitharaman chaired the meeting, which was attended by Manipur Deputy Chief Minister Nemcha Kipgen.
Official data showed a decline in Manipur’s GST growth after the unrest began. Before the conflict, the state recorded high GST growth rates in FY 2018-19 and FY 2019-20. However, growth slowed to 8.9% in FY 2023-24, with total collections falling to around Rs 670 crore.
GST registrations increased by 50%, from 6,006 in July 2024 to 9,044 by mid-2025. However, post-settlement State GST (SGST) collections fell by 13% amid reduced business activity and delayed tax filings. By early 2026, monthly GST collections stood at around Rs 126 crore, lower than those of several other small states and Union Territories.
The Council discussed policy reforms to resolve tax disputes, improve input tax credit processes and reduce compliance costs for taxpayers.
During the meeting, Kipgen called for cooperation between the Centre and state governments to develop a transparent, efficient and taxpayer-friendly system.
She said the Manipur government remained committed to representing the economic interests of its people and that cooperation was necessary to support businesses, improve governance and revive economic activity.