It looks like mindless populism is pushing Andhra Pradesh to bankruptcy. The State Government has borrowed a whopping 13,000 Crore in the past two and half months. This is three times of what the state has earned during the same period which is like mind-blowing.
And almost all of this has gone only to salaries and welfare schemes. There is no investment whatsoever on longterm development and irrigation projects. The state also received 10,000 Crore Central Funds during the period. The own revenues of 4,700 Crore and this 10,000 Crore have gone to welfare schemes.
Jagannana Chedhodu 247 Crore, Amma Vodi 6,336 Crore, Vidya Devana 3,329 Crore, Matsyakara Bharosa 110 Crore, Zero Interest Loans 1000 Crore, Rythu Bharosa 3,600 Crore and Vahana Mitra 262 Crore. If at all, the trend continues, the State GSDP will get affected and the Government will find difficulty in getting loans as well.
In such a scenario, the welfare-schemes will stop and the state would go bankrupt.
