NDA govt borrowed 97 per cent of YSRCP regime loans in two years, says Jagan

YSRCP chief YS Jagan Mohan Reddy alleged that the TDP-led NDA government in Andhra Pradesh borrowed Rs 3.2 lakh crore in two years, nearly matching the Rs 3.3 lakh crore taken during his five-year tenure between 2019 and 2024

Amaravati: YSRCP supremo YS Jagan Mohan Reddy on Wednesday accused the N Chandrababu Naidu-led NDA government in Andhra Pradesh of accumulating debts in two years equal to 97 per cent of the amount borrowed by his entire five-year regime.

Reddy said the TDP-led NDA government has already borrowed Rs 3.2 lakh crore in two years, compared to the Rs 3.3 lakh crore borrowed between 2019 and 2024. However, there was no immediate reaction from the TDP.

---

Addressing a press conference at the YSRCP central office in Tadepalli, Reddy accused Naidu of incurring Rs 3.2 lakh crore in debt in such a short time, which includes liabilities contracted or permitted by the TDP-led NDA government.

“During the period of the YSRCP government, even if all forms of liabilities are taken into consideration, the increase is Rs 3.31 lakh crore. As against that, the liabilities contracted to date (including gross off-budget borrowing) by the TDP alliance government are Rs 3.2 lakh crore,” said Reddy, citing CAG reports and other sources.

Observing that there was increased dependence on borrowings for financing expenditure under the NDA alliance government, the former CM said the revenue deficit shot up by 56 per cent in FY25 to Rs 60,285 crore compared to Rs 38,682 crore in the final year of the YSRCP government, 2023-24.

Similarly, the opposition leader pointed out that the fiscal deficit rose by 30 per cent to Rs 81,071 crore in the 2024-25 financial year under the TDP-led NDA government when compared to Rs 62,720 crore under the previous YSRCP regime in FY24.

Despite unexpected difficulties such as the COVID-19 pandemic, his YSRCP government managed the fiscal deficit to GSDP ratio at around 4.1 per cent per year on average, compared to over 5 per cent under the current NDA government.

Criticising Naidu for inflicting economic devastation on the southern state, Reddy accused him of always violating the Net Borrowing Ceiling (NBC) but noted that despite the COVID-19 pandemic and ‘fulfilling’ all promises, the previous YSRCP government had borrowed Rs 12,000 crore less than the NBC.

According to Reddy, Naidu had borrowed Rs 29,099 crore beyond the NBC during the previous TDP government between 2014 and 2019.

Naidu did not maintain a minimum balance in the treasury for 357 days, and it was maintained for only eight days in FY25, the YSRCP chief said.

Reddy attributed the increase in revenue and fiscal deficit to what he called “indiscriminate corruption”.

He alleged that Naidu, his associates, the ‘yellow media’ and MLAs are ‘plundering’ resources such as sand, quartz, granite, laterite and others.

According to Reddy, Naidu handed over 54 acres of land valued at Rs 5,000 crore to his relative in Visakhapatnam, hinting at Vizag MP M Sribharat, who runs the Gitam chain of educational institutions.

Further, he alleged that the coalition government is offering land to real estate companies at the least cost and in turn returning them Rs 2,000 per sq ft for development.

The former CM also claimed that “Naidu falsely informed the state Assembly that only Rs 60,485 crore debts were taken in 2024-25 when the actual figure was Rs 81,082 crore”.

He also said that YSRCP will write to the cabinet secretary, Department of Personnel and Training and Finance Secretary on this matter, furnishing the CAG report.