TPN Kishore Katta | Hyderabad
Telangana's financial situation has come under scrutiny, with CM Revanth Reddy making sensational comments. He expressed concerns over the state's declining income while the debts continue to rise. Financial experts have shown mixed reactions to his comments, with some expressing surprise at the fact that the CM himself is raising concerns about the state's economic situation. On the other hand, Revanth blames the increasing debts on the previous BRS government, criticizing them for the interest payments on past loans. He stated that the state's income is barely enough to pay the interest on the debts accumulated by the previous government.
It is reported that the state's income has decreased by Rs. 13,000 crore compared to the previous year. Furthermore, according to statistics, Revanth's government has incurred debts of 118.94% beyond the projected estimates. A report by CAG has highlighted these figures, showing a severe decline in the state's financial health.
The impact of Revanth's policies on the real estate sector has been significant. Over the past 10 months, only 31% of the expected revenue has been generated from registrations. While the budget forecasted revenue of Rs. 2.21 lakh crore, only Rs. 1.23 lakh crore (55.96%) has been collected. The revenue has decreased by 9.53% from Rs. 1.36 lakh crore in 2023-24 to Rs. 1.23 lakh crore in 2024-25. Similarly, the revenue from stamps and registrations has dropped from Rs. 11,698 crore in 2023-24 to Rs. 5,821 crore in 2024-25.
Financial analysts have warned that the state's economy is facing severe damage due to the decisions made by the current government.
Meanwhile, CM Revanth provided a detailed explanation in the Assembly regarding the state's debts. He clarified that after the Congress government came into power, the debts amounted to Rs. 1.58 lakh crore. He mentioned that during KCR's tenure, Rs. 1.53 lakh crore was repaid. Revanth stated that the loans taken by his government were aimed at correcting the mistakes made by the previous BRS government. He said that BRS had left a debt of Rs. 8.19 lakh crore. Currently, Telangana's debt stands at Rs. 7.38 lakh crore. Revanth also pointed out that between 2023 and 2025, the government has taken loans of Rs. 1.58 lakh crore, of which Rs. 88,000 crore was paid as interest.
Revanth defended his government's actions, stating that the loans were necessary to pay the interest on past debts. He also clarified that loans are not just about borrowing from banks but also include pending bills from the previous government. Revanth further stated that his government would explain everything to the public. He challenged the BRS party to prove that he was lying if his statements were untrue.
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