Lok Sabha Question No. 437 (UNSTARRED), answered on 2024-02-05
Subject: States Debt
Ministry: FINANCE
Asked by: Sanjay(Kaka) Ramchandra Patil

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE

## LOK SABHA UNSTARRED QUESTION NO. 437 TO BE ANSWERED ON MONDAY, 5 th  FEBRUARY, 2024 16 MAGHA, 1945 (SAKA)

## States Debt

## 437. SHRI SANJAY KAKA PATIL:

Will the Minister of FINANCE be pleased to state:

- (a) the details of States debt to the Government, State-wise;
- (b) the  details  of  studies  commissioned  by  the  Government  on  the  possibility  of  any  of  the  States being  no  longer  indebted  to  the  Government  in  the  future,  as  mentioned  by  the  Fourteenth Finance Commission, if so, the details thereof; and
- (c) the constitutional and/or statutory provisions by which the Government may regulate borrowings by the State Government in such situation?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

- (a)   and (b) As per  Reserve  Bank  of  India's  report  titled  'State  Finances:  A  Study  of  Budgets  of 2023-24', the 'State-wise details of total outstanding liabilities of the State Governments' at the end of March 2022, March 2023(RE) and March 2024 (BE) to Union of India are at Annexure-I .  The State Governments also invest in the treasury bills of the Government of India which is treated as a short term debt. A statement of treasury bills holding of State Governments as per Reserve Bank of India as on 31.01.2024 are at Annexure-II . No Study has been commissioned so far by the Ministry of Finance on the possibility of any of the States being no longer indebted to the Government in the future.

(c) Department of Expenditure, Ministry of Finance generally follows the fiscal limits mandated by the  accepted  recommendations  of  the  Finance  Commission  while  exercising  the  powers  to  approve borrowings by States under Article 293 (3) of the Constitution of India. All States have enacted their Fiscal  Responsibility  and  Budget  Management  (FRBM) Act.  Compliance to  the  State FRBM  Act  is monitored  by  the  respective  State  Legislatures.  FRBM  Acts  of  States  generally  make  the  State Governments responsible to ensure prudence in fiscal management and fiscal stability by progressive elimination  of  revenue  deficit,  reduction  in  fiscal  deficit,  prudent  debt  management  consistent  with fiscal sustainability, greater transparency in fiscal operations of the government and conduct of fiscal policy in a medium term framework.

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## Annexure-I referred to in the answer of part (a) of Lok Sabha Unstarred question no. 437 for 05.02.2024

## State-wise details of total outstanding liabilities of State Governments at the end of March 2022, March 2023(RE) and March 2024 (BE)

(Rs. In crore)

| State             | 2022 (Actuals)   | 2023 (RE)   | 2024 (BE)   |
|-------------------|------------------|-------------|-------------|
| Andhra Pradesh    | 3,80,548.5       | 4,28,715.7  | 4,85,490.8  |
| Arunachal Pradesh | 15,924.6         | 18,850.4    | 21,654.2    |
| Assam             | 1,02,366.3       | 1,26,281.4  | 1,50,900.4  |
| Bihar             | 2,57,634.7       | 2,93,850.5  | 3,19,618.3  |
| Chhattisgarh      | 1,06,451.1       | 1,09,664.1  | 1,22,164.1  |
| Goa               | 29,209.2         | 30,743.2    | 34,758.4    |
| Gujarat           | 3,88,582.8       | 4,21,018.2  | 4,67,464.4  |
| Haryana           | 2,79,453.3       | 3,05,586.9  | 3,36,253.0  |
| Himachal Pradesh  | 73,541.4         | 86,639.2    | 94,992.2    |
| Jharkhand         | 1,13,568.1       | 1,18,855.5  | 1,31,455.6  |
| Karnataka         | 5,03,987.7       | 5,35,408.1  | 5,97,618.4  |
| Kerala            | 3,60,036.9       | 3,89,312.3  | 4,29,270.6  |
| Madhya Pradesh    | 3,25,193.0       | 3,65,624.4  | 4,18,056.0  |
| Maharashtra       | 6,06,407.1       | 6,53,197.0  | 7,22,887.3  |
| Manipur           | 15,334.0         | 17,376.4    | 19,245.8    |
| Meghalaya         | 16,927.6         | 18,845.1    | 20,029.9    |
| Mizoram           | 10,953.7         | 12,880.0    | 14,039.3    |
| Nagaland          | 15,834.5         | 17,085.2    | 18,165.8    |
| Odisha            | 1,39,002.4       | 1,29,872.9  | 1,20,986.9  |
| Punjab            | 2,84,923.2       | 3,16,346.1  | 3,51,130.2  |
| Rajasthan         | 4,63,832.8       | 4,99,529.0  | 5,62,494.9  |
| Sikkim            | 11,482.2         | 13,331.4    | 15,529.5    |
| Tamil Nadu        | 6,67,974.9       | 7,41,497.7  | 8,34,543.5  |
| Telangana         | 3,14,852.9       | 3,52,061.0  | 3,89,672.5  |
| Tripura           | 22,438.6         | 23,360.5    | 26,505.8    |
| Uttar Pradesh     | 6,46,321.3       | 6,93,577.1  | 7,69,245.3  |
| Uttarakhand       | 78,952.1         | 80,120.4    | 89,466.0    |
| West Bengal       | 5,48,235.9       | 5,96,725.2  | 6,58,426.2  |

Source: RBI report titled 'State finances: A Study of Budgets of 2023-24'.

## Annexure-II referred to in the answer of part (a) of Lok Sabha Unstarred question no. 437 for 05.02.2024

## Statement of treasury bills holding of State Governments as per Reserve Bank of India as on 31.01.2024

| Sl. No.   | Account Name         | 14 Days Intermediate Treasury Bills   | Auction T-bills (91/182/364 days)   |
|-----------|----------------------|---------------------------------------|-------------------------------------|
| 1         | Andhra Pradesh       | 0.00                                  | 0.00                                |
| 2         | Arunachal Pradesh    | 4,746,71,00,000.00                    | 2,000,00,00,000.00                  |
| 3         | Assam                | 2,589,38,00,000.00                    | 0.00                                |
| 4         | Bihar                | 19,012,37,00,000.00                   | 1,000,00,00,000.00                  |
| 5         | Chhattisgarh         | 5,091,34,00,000.00                    | 3,450,00,00,000.00                  |
| 6         | Goa                  | 350,99,00,000.00                      | 0.00                                |
| 7         | Gujarat              | 18,442,10,00,000.00                   | 10,500,00,00,000.00                 |
| 8         | Haryana              | 2,878,40,00,000.00                    | 0.00                                |
| 9         | Himachal Pradesh     | 1,644,81,00,000.00                    | 0.00                                |
| 10        | Jammu And Kashmir    | 0.00                                  | 0.00                                |
| 11        | Jammu And Kashmir UT | 1,667,40,00,000.00                    | 0.00                                |
| 12        | Jharkhand            | 6,684,55,00,000.00                    | 700,00,00,000.00                    |
| 13        | Karnataka            | 45,583,21,00,000.00                   | 25,909,21,00,000.00                 |
| 14        | Kerala               | 0.00                                  | 0.00                                |
| 15        | Madhya Pradesh       | 12,172,24,00,000.00                   | 0.00                                |
| 16        | Maharashtra          | 14,185,83,00,000.00                   | 4,000,00,00,000.00                  |
| 17        | Manipur              | 0.00                                  | 0.00                                |
| 18        | Meghalaya            | 232,32,00,000.00                      | 0.00                                |
| 19        | Mizoram              | 31,73,00,000.00                       | 0.00                                |
| 20        | Nagaland             | 284,55,00,000.00                      | 0.00                                |
| 21        | Orissa               | 9,637,08,00,000.00                    | 17,262,00,00,000.00                 |
| 22        | Puducherry           | 355,35,00,000.00                      | 1,400,00,00,000.00                  |
| 23        | Punjab               | 0.00                                  | 0.00                                |
| 24        | Rajasthan            | 0.00                                  | 8,000,00,00,000.00                  |
| 25        | Tamil Nadu           | 7,733,95,00,000.00                    | 2,911,25,00,000.00                  |
| 26        | Telangana            | 0.00                                  | 0.00                                |
| 27        | Tripura              | 1,932,77,00,000.00                    | 225,00,00,000.00                    |
| 28        | Uttar Pradesh        | 30,025,07,00,000.00                   | 0.00                                |
| 29        | Uttarakhand          | 109,83,00,000.00                      | 0.00                                |
| 30        | West Bengal          | 8,871,14,00,000.00                    | 0.00                                |
| TOTAL     | TOTAL                | 1,94,263,12,00,000.00                 | 77,357,46,00,000.00                 |

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