Not even one new major infrastructure project has been taken up, not even a single development work has been initiated, and none of the electoral promises have been completely fulfilled, and pending bills of contractors and sarpanches have not been released. Yet, the Revanth Reddy government in Telangana has incurred a whopping debt of Rs. 501,180,000,000 (Rs. 50,118 crore) in just eight months.
Ironically, Revanth Reddy, who earlier criticized the BRS Government for taking loans for infrastructure projects, is now raising thousands of crores every month. The latest will be the Rs. 3,000 crore loan raised by selling state bonds on August 13. With this addition, the total debt incurred by Revanth will hit a record Rs. 50,000 crore tomorrow.
After assuming power, the Congress government has accrued a total debt of Rs. 42,118 crore by selling bonds from December 12, 2023, to August 13, 2024. In addition, Revanth took a loan of Rs. 5,000 crore from the National Cooperative Development Corporation (NCDC) and Rs. 3,000 crore from the Housing and Urban Development Corporation Limited (HUDCO). This means that, on average, Revanth has incurred a debt of around Rs. 200 crore per day.
Furthermore, it was reported that the Congress government is exploring loans exceeding Rs. 10,000 crore through the Telangana State Industrial Infrastructure Development Corporation (TGIIC) by mortgaging government lands. There are also discussions about raising funds by selling bonds, mortgaging land, and establishing a farmer’s welfare corporation.
Though the Congress party justifies these huge borrowings by claiming that they are paying Rs. 7,000 crore monthly towards interest payments, the reality seems different. According to figures from the Comptroller and Auditor General of India (CAG), the Congress government paid only Rs. 5,933 crore towards interest payments in the months of April, May, and June.
There is widespread criticism regarding where the raised loans are being allocated, as no major program or scheme has been undertaken in the last eight months. Critics argue that CM Revanth’s inexperience is leading to an additional financial burden on the people of Telangana.
Loans Raised by Selling Bonds in 2024
- August 13: Rs. 3,000 cr
- August 6: Rs. 3,000 cr
- July 30: Rs. 1,000 cr
- July 23: Rs. 3,000 cr
- July 16: Rs. 2,000 cr
- July 2: Rs. 2,000 cr
- June 25: Rs. 1,000 cr
- June 18: Rs. 2,000 cr
- June 4: Rs. 2,000 cr
- May 15: Rs. 1,000 cr
- May 7: Rs. 3,000 cr
- April 23: Rs. 1,500 cr
- April 9: Rs. 1,500 cr
- April 2: Rs. 1,000 cr
- March 26: Rs. 1,718 cr
- March 12: Rs. 2,000 cr
- March 19: Rs. 2,000 cr
- March 5: Rs. 2,000 cr
- February 13: Rs. 1,000 cr
- February 6: Rs. 2,000 cr
- January 23: Rs. 1,000 cr
- January 16: Rs. 2,000 cr
2023
- December 19: Rs. 900 cr
- December 12: Rs. 500 cr
HUDCO loan: Rs. 3,000 cr
NCDC loan: Rs. 5,000 cr
Total: Rs. 50,118 cr