There isn’t a finish to the money owed, the AP authorities is making to satisfy AP CM YS Jagan’s welfare schemes that are largely financially oriented. Informing the identical in Parliament, Union minister of state for Finance ministry, Pankaj Choudhary acknowledged that the AP authorities is incurring big money owed within the identify of welfare schemes and he form of served a closing warning.

In line with the price range calculations, Andhra Pradesh’s debt in 2018 was Rs 2,29,333.8 crores, and now it has reached Rs 3,98,903.6 crores. Furthermore, the share of debt within the price range can also be rising yearly. In comparison with final 12 months in 2017-18, the debt proportion has decreased by -9.8 % however for the 12 months 2020-21 it has elevated to 17.1 %. The proportion of money owed in GDP (Gross Home Product) has gone up within the final three years.

In 2014, when Telugu Desam fashioned the federal government, the debt was 42.3 % of the state’s GDP and has since recorded a pointy decline. In 2015, AP’s GDP debt was 23.3 % and by 2021, it has been recorded as 36.5 %. The federal government of India warned that the non-budgetary money owed are greater than the money owed proven within the price range and it isn’t an excellent signal.

Whereas that is the grave state of affairs of AP’s monetary place, the YCP authorities is fighting new money owed. Loans obtained are additionally enough to pay curiosity on outdated money owed and concurrently, the AP authorities can also be battling to pay salaries to staff and pension to beneficiaries.

Each month the AP authorities wants roughly Rs 5500 crore to pay salaries and pensions. However the irony is that the state’s treasury doesn’t even have Rs 2000 crore on the primary of each month. On account of this the federal government is unable to pay salaries to all the workers at one go and a few staff are receiving salaries very late.

The AP authorities sources haven’t any clue how lengthy this example will prevail however they know that the monetary issues are usually not wanting good. These are clear indications of final warning to CM Jagan and AP authorities. 

Tags Jagan Mohan Reddy