Gujarat’s outstanding debt increases by 10% to RS 3.15 lakh cr in fiscal year 2020: CAG
Gujarat’s total outstanding liabilities increased 10.36% year on year to around Rs 3.15 lakh crore in 2019-2020, according to latest Comptroller and Auditor General of India (CAG) report filed at the state assembly on Tuesday.
According to the CAG State Financial Audit Report for FY2019-2020: “Total outstanding debts include internal debt of Rs 2,59,661 crore (82.31%), public account of 48,361 crore (15.33%) and loans and advances from Government of India of Rs 7,433 crore (2.36%). The percentage of total outstanding government gross domestic product (GSDP) commitments has continuously declined from 21.49% (2015-16) to 18.96% (2019-20).
State government public debt revenue increased from Rs 23,486 crore in 2015-16 to Rs 43,491 crore in 2019-20 and public debt repayments increased from Rs 6,194 crore in 2015-16 at Rs 16,702 crore in 2019-20. The percentage of public debt repayment relative to public debt revenue increased from 26.37% to 38.4%, indicating the need to review the sustainability of the state’s public debt, the CAG noted. The net availability of borrowed funds for current operations after debt repayment (principal and interest payments) was Rs 7,162 crore in 2019-2020.
As for Gujarat’s per capita income, it remained at Rs 2,54,789 in 2019-2020, which is 68% more than the whole India average of Rs 1,51,677. The state has met all targets. major fiscal variables set under the Gujarat Fiscal Responsibility Act 2005. The state has been in surplus since 2011-12. The ratio of budget deficit to MSRP at 1.48% and public debt at 16.06% was in line with the targets set by law. Exceptional state guarantees at Rs 4,462 crore in 2019-2020 were well below the limit of Rs 20,000 crore prescribed under the Gujarat State Guarantees Act of 1963.