Odisha government faces heat over increasing loan burden

BHUBANESWAR: The Opposition BJP and Congress on Tuesday targeted the government in the Assembly for gross financial mismanagement which has led the State to a debt trap. They demanded a White Paper on the economic condition of the State.

Participating in a debate on the admissibility of an adjournment motion notice, the Opposition members claimed that the loan burden of the State as well as the per capita loan burden has increased significantly. While the loan burden has increased to Rs 1.12 lakh crore from Rs 18,900 crore in 1999-2,000, the per capita loan has also gone up from Rs 6,900 in 2000 to Rs 22,042 in 2022-23, they added.  

They alleged that there is no road, no drinking water in villages, industrial units are being closed and the youths are migrating to other states in search of jobs because of the mismanagement of the economy.
In response, Finance Minister Niranjan Pujari refuted the opposition allegations stating that Odisha is a leading state in the country in fiscal management  and is in much better position compared to other states. He said that the loan burden of the state is second lowest in the country.

The Finance Minister said the per capita loan burden of Odisha is Rs 22,042 which is lower than many states. He claimed that the loan burden is well within that mandated in FRBM Act. Dissatisfied with the Minister’s reply the BJP and the Congress  members staged a  noisy walk out in the Assembly.