Meghalaya’s Debt Doubled in Last Eight Financial Years

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The Congress ruling Meghalaya government has made provisions of development in the state annual budget, the state’s total debt burden has gradually increased as it almost doubled in the last eight financial years.

The state’s debt burden may rise to Rs 6500 cr in the financial year 2014-2015.

In the financial year 2012-2013, the state’s total debt was Rs 5380 cr, which was 29 per cent of the gross state domestic product (GSDP).

If divided by the total population of the state, which is around 3 million, the per capita debt burden works out to Rs 17933 per individual.

In the financial year 2011-2012, the state’s total debt burden was Rs 4770 cr.

According to the report of RBI, total debt burden of the Meghalaya in the financial year 2001-2002 was Rs 1530 cr.

From the financial year 2001-2002 to 2012-2013, the state’s debt burden increased by Rs 3850 cr.

The debt of the state has almost doubled in the last eight financial years.

While the debt of the state was at Rs 2610 cr in the financial year 2005-2006, it rose to Rs 5380 cr in the ongoing 2012-2013 financial year.

Meanwhile, the state government has prepared a roadmap for repaying the debt.

“We have prepared a roadmap for repaying the debt to reduce the state burden,” an official of state government said.

Hemanta Kumar Nath is a correspondent in Assam, India, who reports on local news in Assam, the north east Indian state.