Hyderabad: As per the Reserve Bank of India (RBI) bulletin released recently, AP and Telangana occupy 4th and 6th positions in terms of availing loans.
From April 20 to December, AP availed Rs.44,250 cr and Telangana Rs.36,354 whereas Karnataka availed Rs.55,000 cr and Rajasthan Rs.39,000. These figures clearly indicate the economic situation of both the Telugu states.
Till December of the fiscal year 2020-2021, states of the country availed an aggregate loan of Rs.5,55,852 cr.
The AP government availed 4.3% more loans till December compare to its last fiscal year’s figure. On the other hand Telangana Government availed 98.45% more loans compare to its last fiscal year.
The burden of debts on the Telangana state is increasing every year due to which the state is forced to cut its budget. The state’s Finance Department is also reviewing cut during the current fiscal year.
Corona crisis and lockdown further weakened the State’s financial condition. The revenues from Excise and Registration decreased drastically.
In this situation, the State Government is forced to avail more loans to implement development projects and welfare schemes due to which it has to pay Rs.12,000 cr as annual interest on loans.