The Telangana government has disputed a news report claiming the state borrowed double its income in April 2026. While the government insists borrowings were within FRBM limits and revenue receipts were higher than reported, discrepancies with CAG’s official fiscal data have raised further questions.
The Congress government’s claims of paying Rs 6,000–7,000 crore monthly as interest on loans taken during the previous BRS regime have been contradicted by official data. The CAG report reveals average monthly interest payments of around Rs 2,300 crore, totalling Rs 9,355 crore in the first four months of FY 2025–26, just 48% of the annual budgeted estimate.
Poor revenue collections and rising debt forcing the State to resort to last-ditch efforts to stay afloat; in last three financial years, Telangana realised average revenue receipts of 77 per cent by March-end
Tax revenue, the primary contributor, has also seen a dip in performance, achieving just Rs 1.02 lakh crore, which is around 62.07 per cent of the targeted Rs 1.64 lakh crore, compared to 65.37 per cent last year
The latest report published by Comptroller and Auditor General (CAG), reflects a mixed fiscal performance, with revenue receipts scoring slightly above the 50 per cent mark for this period.
