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Telangana financially on a firm footing

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Despite the dent in revenues during the last two years due to Covid pandemic and lack of help from the Centre, Telangana financially appears to be on a firm footing.

With a higher growth rate and per capita income than many bigger states, India’s youngest state has become the fourth largest contributor to national GDP in a short span of less than eight years and claims to be a model for the entire country in welfare and development.

According to 2020-21 budget estimates, Telangana’s estimated outstanding public debt will be over Rs 2.86 lakh crore. However, the economists say the state has the capacity to manage debts.

According to a study paper released by the Reserve Bank of India (RBI) last month, Telangana’s debt-to-GSDP ratio is the lowest in the country, indicating the fiscal health of the state.

Based on the annual data between 2014-15 and 2018-19, the study paper revealed that the State Performance Composite Index (SPCI) of Telangana has improved. SPCI measures both the fiscal performance and market development of states.

The average debt to Gross State Domestic Product (GSDP) of Telangana from 2014-15 to 2018-19 was 16.1 per cent, which is the lowest among the states in the country.

According to state finance minister T. Harish Rao, Telangana is among the states having the lowest debt burden in the country, dismissing the claim by the opposition parties that the Telangana Rashtra Samithi (TRS) government has pushed the state into a debt trap.

Harish Rao had told the state Assembly last year that Telangana’s debt burden is only 22.8 per cent of GSDP, which is well within the permissible limits under the FRBM Act. Telangana was then at the third place from the bottom in the country.

“The Centre’s debt burden is 62.2 per cent of GDP while Telangana’s debt burden is just 22.8 per cent of GSDP,” he had stated.

The RBI also revealed recently that Telangana is the fourth largest contributor to the country’s economy. According to “Handbook of Statistics on the Indian Economy 2020-21” the Net State Value Added (NSVA) by Telangana at current prices to the country increased from Rs 4,16,930 crore in 2014-15 to Rs 8,10,503 crore in 2020-21.

Leaders of ruling TRS say this contribution is significant considering the fact that Telangana is the 11th largest state in terms of geographical area and 12th in terms of population.

According to Telangana State Statistical Abstract Report released this week, provisional estimates show the GSDP of Telangana at current prices in 2020-21 was Rs 9,80,407 crore. Between 2012-13 and 2020-21, the average annual GSDP growth of Telangana was 6.8 per cent and GDP of India was 5.1 per cent.

For 2021-22, the state presented a Rs 2.31 lakh crore budget despite the pandemic drastically impacting the state’s economy. For 2020-21 the budget size was Rs 1.82 lakh crore.

The budget for FY22 comprised revenue expenditure of Rs 1.69-lakh crore and capital expenditure of Rs 29,046 crore. The fiscal deficit went up to Rs 45,509 crore from Rs 33,191 crore in the previous financial year.

Telangana’s growth rate has been consistently higher. In 2018-19 it was 9.8 per cent against GDP growth rate of 6.5 per cent. The growth rate was 6 per cent in 2019-20 against GDP growth rate of 4 per cent. In 2020-21, it was -0.6 per cent against All India -7.3 per cent.

In another key performance indicator, the per capita income of Telangana increased from Rs 91,121 in 2011-12 to Rs 2,37,632 in 2020-21. This is against all India averages ranging from Rs 63,462 in 2011-12 to Rs 1,28,829 in 2020-21.

In another boost for Telangana, the latest data by the Centre for Monitoring Indian Economy revealed that the state has lowest unemployment at 0.7 per cent.

Economist Papa Rao believes that Telangana has no financial worries as it is performing well despite not receiving the support from the Centre. “Some debts were unduly raised but the state has the capacity to manage them. It can generate its own resources,” he said while pointing out that the state’s tax revenues have gone up during the current year. He, however, said the state should be cautious in raising new loans.

According to him, Telangana in a short span of time has emerged as a progressive state with Hyderabad as the growth engine attracting massive investments. The state created assets in the form of irrigation projects and Mission Bhagiratha which envisages drinking water supply to every house.

He, however, believes that Dalit Bandhu scheme launched by TRS government recently is not viable. Under the scheme claimed to be the only one of its kind in the country, the government plans to provide Rs 10 lakh grant to every Dalit family.

“There are 50 lakh Dalit families. Mobilizing such huge funds is very difficult. This may take many years and may not yield desired results,” Papa Rao said.

Pointing out that an overwhelming majority of Dalits are agriculture labourers, the economist said distribution of land rather than cash would have been more practical.

The state claims to be number one in welfare in the country with a welfare budget of over Rs 40,000 crore. It is implementing a plethora of welfare schemes from social security pensions to various categories to financial help for marriages of poor girls to Rythu Bandhu under which every farmer gets Rs 10,000 as annual investment support for every acre.

However, opposition Congress party leader Dasoju Srravan says that welfare programs should ultimately empower people. “Farmers’ suicides have not stopped despite Rythu Bandhu. During the last 4-5 years 8,000 farmers have ended their lives. Farmers do not want Bandhus, they want MSP for the hard work they put in and market support for agricultural produce,” he said.

The national spokesperson of the Congress party believes that the TRS government is focusing more on voter alluring programs but not voter empowerment programs. “As a result the state has landed into a serious debt trap and today we are a financially bankrupt state. We don’t have money for salaries and we don’t have money for repayment to contractors.”

He blamed lopsided priorities of the government, mismanagement, callous understanding of development for this situation. “On top of it is mysterious corruption in projects. TRS leadership has become extremely rich overnight,” he said.

The Congress leader alleged that the state government is making people addicted to liquor by opening more and more wine and bar shops across the state. “It is giving pensions and some money under Rythu Bandhu but draining their resources through sales tax on liquor. See how liquor revenue has increased in these 7-8 years,” he said.

The revenue from liquor sales, which was Rs 10,833 crore, has gone up to Rs 27,888 crore in 2020-21.

He alleged that the TRS government completely ignored sectors like education, health and employment generation

“The chief minister proudly says a private villa in Hyderabad costs Rs 25 crore and still people are coming and buying. Is that a development indicator? It is a third-rate governance indicator. In management we call it critical incident analysis while analyzing performance. The CM made critical comments reflecting his innate mindset and how he sees development,” Srravan said.

Crime

MP ATS intensifies probe into radicalisation-spying network after mastermind arrested

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New Delhi, June 14: The Anti-Terrorism Squad (ATS) in Madhya Pradesh has intensified its crackdown on suspected anti-national activities, continuing raids for the second consecutive day and arresting alleged mastermind and senior agent Naeem Qureshi in a major development in the case.

The arrested accused was taken into custody from the Sarangpur area of Uttar Pradesh and later produced before the court, where he was remanded to four days of ATS custody for further interrogation.

He is accused of sharing sensitive information with foreign elements, training Bhopal resident Mohammad Faraz, and planning to send him to Afghanistan. Evidence of jihadist literature, suspicious documents, and calls to Afghanistan and Pakistan have been found.

Officials said that during the investigation, evidence, including suspected jihad-related literature, suspicious documents, and financial transaction records linked to religious institutions, was recovered.

ATS sources further stated that digital examination of the accused’s mobile phone revealed communication with numbers based in Afghanistan and Pakistan. Investigators also found evidence suggesting the accused used an application to communicate with foreign contacts.

The probe has also indicated that photographs and videos from multiple cities in Uttar Pradesh were allegedly being sent to Pakistan, raising concerns about a wider cross-state network.

Investigators suspect that the module may be spread across several states and could be operating in a sleeper-cell-like structure. Agencies are now working to identify additional members and establish the full extent of the alleged network.

A statement issued by the Madhya Pradesh Anti-Terrorism Squad (ATS) said the operation also led to further arrests and detentions. It said ATS arrested Haji Azhar from Dhar (Madhya Pradesh) and also brought a suspect from Nuh, Haryana, to Bhopal for questioning.

The agency further alleged that a handler based in Saudi Arabia was inciting youths for jihad-related activities.

Officials said the investigation is ongoing, and further arrests are likely as agencies continue to examine digital evidence, financial trails, and communication records connected to the case.

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Kharge, Priyanka condole death of 5 IAF personnel in Assam plane crash (Ld)

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New Delhi, June 13: Congress President Mallikarjun Kharge and Congress MP Priyanka Gandhi Vadra on Saturday expressed grief over the tragic loss of five bravehearts in the Indian Air Force aircraft crash in Assam and said that we salute their service and selfless sacrifice, and will forever remain indebted to them and their families.

Congress President Mallikarjun Kharge took to social media ‘X’ and said, “Deeply saddened by the tragic loss of five bravehearts in the Indian Air Force aircraft crash in Assam. My heartfelt condolences to their families and loved ones in this moment of grief. We salute their service and selfless sacrifice, and will forever remain indebted to them and their families.”

Congress MP Priyanka Gandhi Vadra also expressed grief over the martyrdom of five brave soldiers in an Air Force plane crash in Assam, describing the incident as deeply saddening.

Taking to social media platform X, Priyanka Gandhi said, “The news of the martyrdom of five brave soldiers in an Air Force plane crash in Assam is deeply saddening. May God grant peace to the departed souls. My deepest condolences to the bereaved families.”

She further said, “The nation will forever remain indebted to our brave soldiers and their families.”

At least five IAF personnel were killed after an AN-32 transport aircraft met with an accident while landing at the Jorhat airbase in Assam and burst into flames on Saturday, defence officials said.

According to the IAF, the incident occurred at approximately 10 a.m. after the aircraft landed at the Jorhat Air Force Station. The aircraft reportedly burst into flames shortly after touchdown, triggering an immediate emergency response from Air Force and airport firefighting teams.

“An IAF AN-32 aircraft met with an accident during a routine sortie today at approximately 1000h at Jorhat, Assam. Crash site management and initial enquiries are on at this time. IAF requests everyone to refrain from speculation till preliminary results are in,” the IAFZ said in a statement.

Defence officials later said that five people lost their lives in the incident. The identities of the deceased have not yet been officially released. Further details regarding the circumstances leading to the crash are awaited.

The IAF expressed condolences over the tragedy, stating: “IAF deeply regrets the loss of lives and stands firmly with the bereaved families in this time of grief.”

A detailed investigation is expected to be ordered to ascertain the cause of the accident. Technical experts and Air Force authorities are examining the crash site while initial enquiries remain underway.

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Akhilesh raises fears of Bengal-style ‘poll loot’ in UP elections, BJP calls it face-saving bid

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New Delhi, June 13: Samajwadi Party (SP) chief Akhilesh Yadav’s claims of possible electoral manipulation in the Uttar Pradesh Assembly elections next year have invited quick riposte and taunt from the Bharatiya Janata Party (BJP) leaders, as they called it the former’s acceptance of defeat even before the 2027 poll contest.

UP Deputy Chief Minister Brajesh Pathak, reacting to Akhilesh’s allegations of likely manipulation in UP elections, on the lines of Bihar and West Bengal, said that this was a clever way of a face-saving exercise by the Opposition.

Speaking to newsmen, Pathak said, “Leaders of the Samajwadi Party and Congress, especially Akhilesh Yadav, are making such statements as a face-saving attempt as they are sensing defeat even before elections.”

Slamming the INDIA bloc’s duplicity, he said that when the Opposition wins, they say that the Election Commission is doing a good job, but when they lose, they feel that their political base is shrinking or about to lose people’s mandate, they start making such remarks to save face.”

The fresh round of political spat comes on the back of Akhilesh Yadav’s charge that the BJP manipulated the elections in Bihar and Bengal in connivance with the Election Commission, and “if the same loot and dishonesty was to happen in Uttar Pradesh, then there may never be elections in the future.”

Akhilesh levelled these charges while addressing a public meeting during the inauguration of Urmila Garden at Soron Gate in Kasganj on Friday.

He accused the BJP of stealing the elections by introducing campaigns like Special Intensive Revision (SIR) and also accused the latter of befooling the women voters with women reservation bill.

Brajesh Pathak rejected Akhilesh’s charge summarily and called out SP’s own record of governance when goons and criminals held sway.

He said that people gave a thumping majority to the BJP in West Bengal, and the public anger was only now coming to the fore after TMC’s ouster.

“Same was the condition in Uttar Pradesh during the Congress-SP regime, mafia raj prevailed over people, and the latter was left at the mercy of its strongman leaders as well as goons,” he added.

Danish Ansari, UP minister for minority welfare, also hit back at the SP supremo and compared the progressive record of the Yogi government as compared to ‘dark phase’ under SP regime.

“Samajwadi Party’s only agenda is to obstruct the development journey of the Yogi-led UP government and hinder the progress and prosperity of Uttar Pradesh. The party tries to create hurdles in the path of development and foment trouble in the state,” he said.

The minister reiterated that the double-engine BJP government has pledged to provide a corruption-free and crime-free state, and this is why the Opposition, which always shielded gangsters and goons, is having a meltdown.

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