Telangana to raise Rs 1,000 crore Development Loan

HYDERABAD: The State will raise another Rs 1,000 crore State Development Loan on Tuesday. As against the Budget estimate of Rs 33,191.26 crore borrowings this year, the State has already raised Rs 25,989.43 crore till September, which was 78.30 per cent of the Budget estimates in six months. However, the maturity profile of SDL indicated that the period from 2023-24 to 2027-28 are critical, as the State has to repay large amounts during this period.

State revenue was badly affected by the lockdown, and Telangana is mostly depending on the borrowings this year. However, the Reserve Bank of India in its report on State Finances indicated that the maturity profile would be high from 2023-24. 

The total outstanding loans of the State as on March 31,2020 was Rs 1,73,339.7 crore. Of which, the highest amount of Rs 19,228.3 crore would mature in 2027-28.  According to RBI, the State would raise Rs 750 crore fresh loan on Tuesday and another Rs 250 crore additional borrowings under greenshoe option. The loan tenure would be for 30 years.