State debt nearly triples in decade; Maharashtra govt promises stability

Chief Minister Devendra Fadnavis with Deputy CMs Ajit Pawar and Eknath Shinde, before the presentation of the budget on Monday. Pic/X/@Dev_Fadnavis

In a decade, from 2015-16 to 2025-26 the state's debt stock has surged from Rs 3.24 lakh crore to Rs 9.32 lakh crore. But, the Mahayuti government has exhibited confidence in meeting the rising obligation and has attributed swelling of obligation to welfare schemes and massive investments in infrastructure and development work which are mandatory for the state's growth.

A day after the Maharashtra government presented its budget, speaking on the same in the state legislative assembly on Tuesday, Chhagan Bhujbal said, "Total interest payment on loan amounts to Rs 64,659 crore."

However, Bhujbal mentioned that Maharashtra is well within the prescribed limit of GSDP (Gross State Domestic Product), 25 per cent threshold under MFRBM (Maharashtra Fiscal Responsibility and Budget Management Rule). "There are states like West Bengal, Arunachal Pradesh, Bihar and Punjab, which are way above the prescribed limit," the senior NCP leader cited during his speech on the budget.

Even Chief Minister Devendra Fadnavis and Deputy Chief Minister Ajit Pawar, after the budget speaking to media on Monday, had categorically stated that there is no need to worry about rising debt stock. "The fiscal discipline is maintained in the budget, and everything is under the control and well within the prescribed limits," both the CM and Dy CM stated.

Speaking in the Assembly, Congress leader Vijay Wadettiwar expressed concern over rising debt and fiscal indiscipline.

"This budget doesn't reflect the balanced growth of Maharashtra. Many of the promises made in the election manifesto do not even find mention in the budget document," the Congress leader added.

Veteran NCP leader (Sharad Pawar camp) Jayant Patil, who has presented ten budgets as finance minister of the state, also slammed the government over the budget.

"All ministers will have to rush to dada (read as finance minister Ajit Pawar) to ensure that allocated budgets to their respective departments are not axed," Jayant Patil sarcastically mentioned. The state government will be replying to all the questions raised on the budget at the end of the discussion.

Rs 64,659cr
Total interest payment on loans