YS Jagan Mohan Reddy used to criticise the Previous Government of taking more loans, but now his Government is even running the day to day affairs with Loans. This Government’s liabilities are much more when compared to the previous Government at the same time last year.
The Government is now seeking a whopping 49,500 Crores as loan to complete various irrigation projects in the state. This does not include the costs involved for Polavaram Project. Among this, 18,000 Crore will go for the important irrigation projects. Another 24,000 Crore will go for Rayalaseema projects and 7,500 Crore for Uttarandhra Projects.
The Chief Minister wants to get these loans at low interest rates but that is not possible given the financial position of the state. The State officials have indulged in talks with Asian Development Bank (ADB) to fund Rayalaseema projects. However, the Officials failed to convince the Bank Officials.
The Pending Projects in Rayalaseema will cost 33,869 Crores but the State Government sought only 18,000 Crore. They could not answer when the Bank Officials how the remaining funds can be adjusted to complete the projects. So, the loan is now lost, sources say.
