The debt burden of Chhattisgarh has increased significantly in recent years as the Bhupesh Baghel-led Congress government continue to avail loans in its pursuit of fulfilling the promises made during elections.
In the last four-and-a-half years, the debt of the state has increased by more than Rs 54,000 crore. However, the financial condition of the state has improved during the last two years, and the government is soon going to present a surplus budget.
Chhattisgarh was formed in 2000 and during the last 23 years, the state government has taken a total loan of Rs 1,05,000 crore, of which a loan of Rs 28,096 crore has been repaid.
After the Congress government came to power in the state, a loan of more than Rs 54,000 crore has been taken between January 2019 and March 2023. At present, the total debt on the state is over Rs 84,000 crore while Rs 460 crore per month is being paid as interest on the total loan taken.
During the Assembly elections held in 2018, Congress made a major promise of waving the farmers’ loan and after winning the election, it waived off the farmers’ loan of about Rs 9,278 crore. Besides this, about Rs 500 crore irrigation loan was also waived off by the Baghel government.
The government also provided a subsidy of about Rs 6,000 crore to farmers in the state, while the minimum support price of paddy has been increased to Rs 2,500.
An allowance of Rs 2,500 per month is also being given to unemployed youth in the state. Further, to strengthen the rural economy, gaushalas were established, ‘Gothans’ or cow day care centres were built, rural parks were built, and cow dung and cow urine are being procured by the state government.
These decisions of the state government have strengthened the rural economy. Besides this, farmers are getting a fair price for their crops, and the unemployed youth have started getting allowances.
The biggest setback for the Baghel government was the two years of the Covid-19 pandemic, during which on one hand the government had to fulfil its poll promises while on the other hand, generating revenue remained a major challenge for the government. This forced the government to borrow huge loans.
The result of the efforts being made to provide employment opportunities in the state is the reason why Chhattisgarh is one of the states in the country where the unemployment rate is the lowest.
The economic transformation is visible with growth in sales of two-wheelers and four-wheelers in the state. Several new showrooms of these vehicle companies have also come up in the state.
The Baghel government is also implementing its promise to restore the Old Pension Scheme for state government employees. The burden of this announcement on the state exchequer will be visible only when those recruited after 2003 will start retiring.
State Congress spokesperson Surendra Verma says: “The BJP government was in power in the state for 15 years and it did not fulfil even a single poll promise, yet took a loan of Rs 41,000 crore. However, to improve the condition of every section of society in the state, the Bhupesh Baghel-led Congress government took a loan while remaining in power for the first two years, but for the last two years, the government’s surplus budget is going to be announced soon.
“Loans of farmers have been waived off, subsidies are being given to farmers, as well as financial assistance is being provided to the landless. This situation has arisen when the dues of the state are not being paid by the Central government. The state’s compensation amount of about Rs 55,000 crore is pending with the Central government, if this amount is received then the state will become debt-free. The Central government has worked to increase the state’s share in various welfare schemes.”
Calling the Baghel government a “government of scams and commissions”, state BJP spokesperson and MLA Ranjana Sahu said that the annual budget of Chhattisgarh during the Congress rule was only Rs 6,000 crore, while the same budget during the BJP rule was Rs 90,000 crore.
“Five lakh tonne of paddy was purchased from the farmers during the Congress rule, which was 15 times lesser than what was purchased during the BJP rule. The present Congress government is betraying the farmers in the name of purchasing paddy. BJP started schemes like Charan Paduka, scholarship for tendu leaves collectors etc which have been stopped by the present Congress government,” Sahu added.
She said that in four-and-a-half years, the present Congress government was “involved in scams, corruption and receiving commissions”.
“The Congress government not only looted the funds received from the Central government for public welfare schemes by indulging in corruption but also looted thousands of quintals of free foodgrains from poor people. Now, a liquor scam worth Rs 2,000 crore is taking place in Chhattisgarh.”
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