Finance Minister of Tripura Pranajit Singha Roy confidently asserted the robust financial condition of the State, countering the Leader of the Opposition, Animesh Debbarma’s claim of the State being burdened with debt.
The Minister refuted Debbarma’s argument on the 4th day of the ongoing State Assembly session on Wednesday.
The Minister backed his statement with comprehensive data and compared the current fiscal status of the State with that of the Left regime in 2017-18. He emphasized that despite the State government’s permission to borrow as per the Fiscal Responsibility and Budget Management (FRBM) Act, no borrowing has been made in the fiscal year 2023-24, so far.
Singha Roy presented an in-depth analysis of the loan sources, their terms, and conditions. He drew a comparison between the previous Left Front Government and the current BJP-led Government, focusing on key aspects such as budget size and revenue justifying that the financial health of the State is in good shape.
He disclosed that the loan amount was approximately Rs 12,903 Crore in 2017-18, before the BJP-led Government came into power. This figure escalated by around Rs 8,784 crore to approximately Rs 21,687 crore in March 2023. Out of the increased amount, loans worth Rs 7986.13 crore were secured under favorable terms and conditions. He listed seven loan sources, including Special Assistance, EAPs, NABARD, and State PF, from which loans worth Rs 7986.13 crore were procured. He noted that while most of these loans are long-term and interest-free, NABARD loans carry a 5.25% interest rate.
Furthermore, the BJP-led Government paid interest worth Rs 1501.73 crore and refunded the Principal amount of Rs 718.25 crore.
Singha Roy also highlighted that the Central Government allows the State government to borrow money as per the FRBM criteria based on Gross State Domestic Product (GSDP). During the Left Front in 2017-18, the State Government was required to borrow 3.25% of the GSDP, but it borrowed 4.74% of the GSDP. However, even when the Central government relaxed the FRBM due to COVID-19 and allowed the State to borrow 5% in 2020-21, the BJP-led Government borrowed significantly less, only 2.54%. He also mentioned that the Government did not borrow its stipulated share in 2022-23.
In addition to loans and borrowings, Singha Roy stated that the budget size in 2018 during the Left Front period was Rs 15956.56 crore, which increased to Rs 26892 crore in 2022-23. The Revenue saw a growth of 77.64% between 2018 and 2022-23.
Countering the allegations of Animesh Debbarma, Singha Roy reaffirmed that the State is not debt-ridden as loans were taken after careful considerations and calculations, ensuring easy terms and long-term loans.