HYDERABAD: The Comptroller and Auditor General (CAG) has released a report highlighting significant fiscal concerns for Telangana. The report indicates that in the last financial year, the state government exceeded its approved budget by 33%, incurring an additional expenditure of ₹1,11,477 crore.
Deputy Chief Minister Bhatti Vikramarka presented the CAG report for the 2023-2024 financial year in the Legislative Assembly. According to the report, by the end of 2023-24, Telangana’s total debt stood at ₹4,03,664 crore, with an additional ₹2,20,607 crore borrowed through various corporations. Between 2022 and 2024, the state government secured loans amounting to ₹53,144 crore, including ₹49,618 crore from the public market in 2023-24 alone.
The report also notes a 200% increase in the Fiscal Responsibility and Budget Management (FRBM) limits over the past year. Despite a revenue surplus of ₹779 crore in 2023-24, the state faced a fiscal deficit of ₹49,977 crore, accounting for 3.33% of the Gross State Domestic Product (GSDP). The government’s expenditure on interest payments was ₹24,347 crore, while ₹26,981 crore was allocated for salaries.
Furthermore, the report reveals that 45% of the state’s revenue was spent on salaries, interest payments, and pensions. The government also utilized ₹10,156 crore through Ways and Means Advances over 349 days and operated on overdraft for 145 days, amounting to ₹35,425 crore.
These findings underscore the need for prudent fiscal management to ensure the state’s financial stability.
