Yanamala Sounds the Alarm: State Debt Skyrockets to 10 Lakh Crore!

Former Finance Minister, Yanamala Ramakrishnu, sent a letter to S.S. Rawat, the Special Principal Secretary of the Finance Department, about the state government's financial issues. The letter points out problems found by the CAG in its 2022 report. Ramakrishnu mentions that the CAG report showed that the state took on a lot of debt, amounting to many crores, without getting the Assembly's okay. Up until March 2022, the government's debt was Rs 1.18 lakh crore. If you add other pending payments and loans, the total debt of AP is now over 10 lakh crores. Interestingly, even though the average loan cost in the country is 14%, it's only 9% in the state. Ramakrishnu claims that the state is paying bills even if they don't have the money. He also believes that they showed wrong numbers to get more loans from the Central government.