Telangana’s outstanding liabilities stand at 27.4 per cent in 2021-22

In terms of outstanding liabilities of the State government against the Gross State Domestic Product (GSDP), Telangana recorded 27.4 percent at the end of March 2022, which is the fifth lowest in the country.

Hyderabad: Telangana’s total outstanding liabilities have witnessed a significant fall from 18.7 percent in 2018-19 to 16.7 percent in 2021-22, indicating the healthy fiscal condition of the State economy. In terms of outstanding liabilities of the State government against the Gross State Domestic Product (GSDP), Telangana recorded 27.4 percent at the end of March 2022, which is the fifth lowest in the country.

Other States with lesser outstanding liabilities against their respective GSDP at the end of March 2022 are Maharashtra (20 percent), Gujarat (21.4 percent), Karnataka (25.7 percent) and Odisha (26 percent).

Union Minister of State for Finance Pankaj Chaudhary tabled the latest reports pertaining to the outstanding liabilities of the States as well as the union government in the Lok Sabha on Monday. However, the union Minister did not respond to the question raised by the BRS MPs on whether any States including Telangana have crossed their debt of permitted ration (FRBM limit) since 2014.

Accordingly, Telangana’s outstanding liabilities increased from Rs.1.6 lakh crore in March 2018 to Rs.3.12 lakh crore in March 2022. However, the percentage of annual growth in outstanding liabilities have gradually decreased from 18.7 percent in 2018-19 to 16.7 percent in 2021-22 in Telangana.

The national gross domestic product (GDP) has increased from Rs.124.68 lakh crore in 2014-15 to Rs.236.65 lakh crore while the country’s total debt/liabilities have increased from Rs.62.44 lakh crore in 2014-15 to Rs.138.87 lakh crore in 2021-22. As a result, the total liabilities of the Centre are 58.7 per cent of the national GDP in 2021-22.