Former finance minister and Telugu Desam Party (TDP) leader Yanamala Ramakrishnudu has launched a scathing attack on the State government’s handling of the economy, underscoring that the government has been unable to correctly diagnose the needs, requirements and problems.
“The government’s inefficiency in fiscal management has led to a precarious financial situation. The State economy is directionless. The government lacks a deep understanding and is clueless as to what the economy needs now. The per capita debt touched ₹20,000 in the last 19 months,” he said.
In a statement on Sunday, Mr. Ramakrishnudu said that the government borrowed ₹1.5 lakh crore during the last 19 months, and levied taxes to the tune of ₹75,000 crore. The tax burden was ₹4,000 crore additionally per month. Physical infrastructure and social infrastructure development was literally nil. The government had deferred payment of TA and six DAs to employees. The pensioners were not receiving pensions in time. The fiscal deficit was touching ₹1,10,320 crore, he said.
‘Publicity stunt’
On the one hand, the prices of essential commodities were on the rise and on the other, the government was making tall claims on welfare programmes. Except government’s publicity on welfare schemes, people hardly benefited and enjoyed the fruits of development, he said.
The revenue collections went up by 6% in the last six months, the State borrowings doubled and the expenditure increased by 23% compared to previous years. The government also received an additional assistance of ₹7,700 crore from the Centre. “Where has all this money gone?” he asked.
“Andhra Pradesh earned a bad reputation due to ‘government terrorism’. The law and order deteriorated, attacks on Opposition and temples are going on unabated. The State has been turned into a haven of criminals,” he alleged, adding,”with wrong decisions and levying of taxes, Mr. Jagan Mohan Reddy became Tuglak 2.0.”
