Public debt burden on Telangana person rises
The debt is to be apportioned between the two states on the population ratio of 58 is to 42
Hyderabad: Apportionment of public debt to the tune of Rs 1.78 lakh crore, inherited from erstwhile Andhra Pradesh by the two states, will be completed within a week, officials said.
The debt is to be apportioned between the two states on the population ratio of 58 is to 42. However, the overall debt on each citizen of Telangana would be slightly higher than in Andhra Pradesh considering the funds that the two states have raised since the bifurcation. Each citizen in Telangana State will have a debt of about Rs 23,000, while citizens in AP will have a debt of about Rs 22,000 each.
The division of debts was delayed with the Centre seeking clarifications. The Comptroller and Auditor General too were involved in the division process. However, top officials said that the apportionment is expected to be completed in the next one week after which the debts will be transferred to each state.
Top officials of AP Finance Department said, “Two or three clarifications were sought by Telangana government and that is over so apportionment will be done in one week.”
The total debt of undivided AP was about Rs 1.78 lakh crore. However, some debts will not be divided on the population ratio. Project based loans will be transferred directly to the concerned state based on geographical location of the project.
“For instance, funds disbursed by NABARD or JICA will be for specific projects based in either Telangana or AP. So that will have to be borne by concerned states,” a senior official said. After bifurcation, AP had raised about Rs 10,000 crore in loans while Telangana has raised approximately Rs 3,000 crore and is seeking more.