How to mobilize funds for loan waiver? Congress govt in a fix 

As the Congress-announced deadline for the farm crop loan waiver in Telangana approaches, the Congress government finds itself in a dilemma. There is an ongoing struggle over raising the necessary funds for the loan waiver and implementing six guarantees. 

The finance department is currently preparing related estimates, as the full budget for the financial year 2024-25 is to be presented by the end of this month. Department-wise reviews are being conducted under the supervision of Deputy CM Mallu Bhattivikramarka. So far, budget preparatory meetings have been held with the agriculture, textile, revenue, and other departments. It is understood that new decisions are being considered to increase revenue for the implementation of development and welfare programs, along with employee salaries.

In the last seven months, Revanth Reddy’s government has already incurred debts totaling Rs. 28,000 crores. By the end of this month, the total debt is likely to reach Rs. 31,000 crores. In this context, economic experts believe it will be challenging for the Congress government to allocate sufficient funds in the budget for the implementation of the loan waiver, Rythu Bharosa, six guarantees, and other development and welfare programs.