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CliQ INDIA > National > Himachal Pradesh Government Raises Substantial Loans Amid Financial Challenges | BulletsIn
National

Himachal Pradesh Government Raises Substantial Loans Amid Financial Challenges | BulletsIn

cliQ India
cliQ India
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Highlights
  • Himachal Pradesh raised Rs 21,366 crore in loans over 20 months.
  • CM Sukhu blames previous BJP government for financial difficulties.

In the last 20 months, the Himachal Pradesh government, led by Chief Minister Sukhwinder Singh Sukhu, has raised a significant amount in loans to manage the state’s financial requirements. Addressing the state Assembly, CM Sukhu highlighted the total loans taken and the repayments made during this period, while also outlining the financial challenges faced by the state, including reduced grants and halted compensations from the central government. He attributed part of the financial strain to the policies of the previous BJP government.

BulletsIn

  • Total Loans Raised: The Himachal Pradesh government raised loans worth Rs 21,366 crore over the past 20 months.
  • Net Loans After Repayment: After repaying Rs 5,856 crore, the net loan raised by the government stands at Rs 15,502 crore.
  • Loan Breakdown by Period:
    • Rs 6,897 crore from December 15, 2022, to March 31, 2023.
    • Rs 10,521 crore in the fiscal year 2023-24.
    • Rs 3,948 crore between April 1, 2024, and July 31, 2024.
  • Repayment Details: The government repaid Rs 1,097 crore in 2022-23, Rs 3,481 crore in 2023-24, and Rs 1,286 crore in 2024-25.
  • Net Borrowing: The net borrowing amounts to Rs 5,800 crore in 2022-23, Rs 7,040 crore in 2023-24, and Rs 2,662 crore in 2024-25.
  • Financial Condition: CM Sukhu stated that the state’s financial condition is strained due to various factors, including reduced revenue deficit grants and halted compensations.
  • Reduced Revenue Deficit Grant: The revenue deficit grant has decreased from Rs 8,058 crore to Rs 6,258 crore, with a further reduction expected next year.
  • Lack of Central Government Support: The Chief Minister mentioned that around Rs 9,042 crore expected from the central government has not been received.
  • NPS Contribution and GST Compensation: The state has not received the NPS contribution of around Rs 9,200 crore from the PFRDA, and GST compensation was stopped after 2022, affecting the state’s finances.
  • Blame on Previous Government: CM Sukhu criticized the previous BJP government for its handling of finances, claiming they are partly responsible for the current financial difficulties.

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