It looks like the Chief Ministers of both the Telugu states are competing with each other in going for record loans. The other day, we have seen media reports about how the Jagan Government is trying to mortgage the Government properties in Vishakapatnam and the properties of R&B to get more loans.
Telangana Government is also taking a similar route. The Government reportedly earmark at least 1000 acres in every district to sell them and make money. Chief Secretary Somesh Kumar had released a G.O. finalizing the guidelines for this sale. Both the governments have become a synonym for financial indiscipline.
COVID has cut down the revenues while the vote bank freebies are not reducing. Hence the chief ministers are leading the states into financial quagmires. Andhra Pradesh is exhausting its debt limit earmarked for a year in just five months and it can no longer get loans without a mortgage.
Telangana, on the other side, despite having a cash cow like Hyderabad is still struggling to make both ends meet.
