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UP’s total outstanding debt shot up by nearly 39% in five years

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The Yogi Adityanath government in Uttar Pradesh has been borrowing so heavily from the market that its total outstanding debt has shot up by almost 39 per cent in five years.

However, spending on education declined while spending on health increased only marginally during this period.

What is even more surprising is the fact that in four out of five years, the state government was unable to spend even the full budgeted amount, leading to a revenue surplus.

The full support given to the Yogi Adityanath government by the Narendra Modi government — the so-called ‘double engine’ advantage — also does not seem to have helped, either in terms of finances or in planning.

According to the latest data available with the Reserve Bank of India, which compiles state government finances, the UP government has outstanding liabilities worth as much as Rs 6.5 lakh crore, as estimated in the state Budget for 2021-22.

This is 38.3 per cent more than the Rs 4.7 lakh crore debt it inherited when it took over in 2017.

The bulk of this debt mountain is owed to financial institutions, such as banks. These are called market borrowings and are taken at hefty rates of interest.

According to sources in the state finance department, a report by the Comptroller and Auditor General (CAG) on UP government’s finances, released last month, pointed out that of the total public debt at the end of 2019-20, Rs 1.99 lakh crore (or 47.7 per cent of the total) would be payable after seven years.

The CAG report referred to earlier made a shocking revelation.

The state government transferred a princely sum of Rs 71,000 crore from a sinking fund illegitimately to its “non-tax revenue” head in its books in March 2020. By rules, this should have been invested elsewhere.

The CAG roundly criticised this brazen violation, recommending that “the transfers out of the fund (Sinking Fund) are not to be treated as Revenue Receipts and the amount equivalent to loan repaid should be transferred from Sinking Fund to Major Head 8680 (Miscellaneous Government Account) on redemption of debt”.

The effect of this ‘creative’ book-keeping was that revenue receipts were boosted in the books only, there was no cash actually transferred. This is what caused the next year’s revenue surplus.

It is a common feature for some states to end the year with huge unspent amounts from their budgetary allocations. Poor and backward states are particularly prone to this aberrant thinking. And UP is no exception.

Under Chief Minister Yogi Adityanath’s leadership, four of the five years have seen a revenue surplus adding up to a huge Rs 1.32 lakh crore.

The figure given for 2021-22 is just estimated, presented in the Budget, and the actual amount may be larger. The deficit would have been even bigger but for the illegitimate transfer of sinking fund money to non-tax revenue accounts.

The year 2020-21 was the first year of the Covid pandemic and some extra spending took place. So, the state government ended up actually spending all of its allocated funds, running a small deficit of Rs 13,161 crore.

Despite borrowing Rs 1.8 lakh crore in five years, the state government has ended its term with an accumulated revenue surplus, i.e., unspent funds of Rs 1.32 lakh crore, which indicates bad planning.

Sources said that spending on two crucial sectors – education and health – was important but as a proportion of total revenue expenditure, the share spent on education declined from about 14.8 per cent in 2017-18 to 12.5 per cent in the budget estimates (BE) for the current financial year.

In 2020-21, when students of the state were struggling to keep up with their studies during the pandemic with schools/colleges and hostels closed and online mode was the dominant way of teaching, the state government saved a lot of money when actually more spending was needed to compensate for academic losses being suffered by the students.

In fact, teachers were not paid salaries, staff were denied wages, and mid-day meals were stopped.

Now, with the crucial Assembly elections looming, the government is busy distributing smartphones and tablets.
Even more disturbing is the minuscule increase in the share of health expenditure in total revenue expenditure — from 5.3 per cent in 2017-18 to 5.9 per cent in 2021-22 (BE) — at a time when the pandemic was at its peak.

Reports based on official data show that the healthcare system in UP remained inadequate to deal with the pandemic. All this would have been avoided if more funds had been allocated and applied by the state government.

National News

Monsoon Havoc In Himachal Pradesh Claims 257 Lives Since June, 37 Missing And Over 1,000 Houses Destroyed

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Shimla: The monsoon havoc in Himachal Pradesh has claimed 257 lives since June 20, according to the Himachal Pradesh State Disaster Management Authority (HP SDMA).

District-wise data shows that Mandi (26 deaths), Kangra (28), and Kullu (11) were among the worst-affected in rain-triggered disasters.

Among the deaths, 133 were deaths reported in rain-related incidents such as landslides, flash floods, drowning, and electrocution, and another 124 fatalities in road accidents,.

The cumulative report released on Friday evening paints a grim picture of widespread destruction. The state has also recorded 331 people injured and 37 missing during the ongoing monsoon season.

Landslides and flash floods alone have caused 16 deaths, while 27 people drowned in swollen rivers and nullahs. Other casualties were reported due to lightning, fire, snake bites, electrocution, and accidental falls.

In addition to human loss, the state reported massive damage to property and infrastructure. Over 1,028 houses were fully damaged and another 2,157 partially damaged, besides 285 cow sheds and 699 shops and factories destroyed. Public property worth more than Rs 2,14,403 crore has been lost, including extensive damage to roads, power lines, water schemes, and government institutions.

Animal losses have also been severe, with 1,625 cattle heads and over 25,700 poultry birds perishing in the rains.

The HPSDMA noted that Mandi district alone accounted for the heaviest financial damage, exceeding Rs 1,180 crore, followed by Kangra and Kullu districts.

Meanwhile, Mandi district reported the highest disruption, with 203 roads blocked and 458 transformers out of service, followed by Kullu where 79 roads remain closed, including NH-305 at Jhed (Khanag) due to a major landslide. Water supply schemes were also severely affected in Chamba (24), Kangra (41), and Mandi (44).

In Kinnaur, six roads including NH-5 were blocked after heavy downpours, while Kullu and Lahaul-Spiti reported widespread outages due to flash floods and HT line faults.

Authorities cautioned that intermittent rainfall in the coming days may worsen the situation, and appealed to people to avoid travel through vulnerable stretches.

Officials warned that the situation remains critical with rains expected to continue, urging residents to avoid travel through vulnerable stretches and follow safety advisories.

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National News

Aadhaar-Based Face Authentication Doubles To 200 Crore Transactions In Just 6 Months

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Aadhaar-based face authentication has set new benchmark, doubling from 100 crore to 200 crore transactions in just 6 months, the government said on Monday.

Aadhaar Face Authentication lets Aadhaar holders verify their identity instantly, securely, and contactless anytime, anywhere, no documents needed.

On August 10, 2025, UIDAI celebrated a landmark 200 crore transactions of Face Authentication, showcasing India’s rapid move towards seamless, secure, and paperless authentication, according to IT Ministry.

The pace of adoption has been exponential. 50 crore transactions were recorded by mid-2024. The number doubled to 100 crore transactions in January 2025 in just about five months. In less than six months, this figure has again doubled, reaching the 200 crore milestone, the ministry informed.

“Reaching 200 crore Aadhaar Face Authentication transactions in such a short time underlines the trust and confidence that both residents and service providers have in Aadhaar’s secure, inclusive, and innovative authentication ecosystem,” said Bhuvnesh Kumar, Chief Executive Officer (CEO), UIDAI.

The journey from 100 crore to 200 crore transactions in under six months is a testament to its scalability and the country’s digital readiness.”

He further added, “From villages to metros, UIDAI is joining forces with governments, banks, and service providers to make Aadhaar Face Authentication a grand success and by giving every Indian the power to prove their identity instantly, securely, and anywhere.”

The swift rise from 100 crore to 200 crore Aadhaar Face Authentication transactions in just six months reflects the core vision of Digital India, transforming the country into a digitally empowered society and knowledge economy.

By enabling instant, secure and paperless identity verification across every corner of the nation, UIDAI is strengthening the backbone of digital governance.

“This milestone is not just about numbers, it is a testament to how inclusive technology, when scaled efficiently, can bridge divides, empower citizens and accelerate India’s journey towards a truly connected and confident digital future,” said the ministry.

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Maharashtra

171 Maharashtra Tourists Safe, Search On For Missing Woman In landslide-hit Uttarakhand

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Mumbai: A woman tourist from Maharashtra has remained untraceable since landslide and flash floods hit Uttarkashi district of Uttarakhand, state Disaster Management Minister Girish Mahajan said on Saturday.

The minister’s office in a statement said that 171 out of the 172 tourists from Maharashtra, who were stranded in the Dharali area, could be contacted, and they were all confirmed safe.

The Statement

“Only one person, Kritika Jain, is still missing, but the authorities are trying to locate her. Efforts are underway to establish contact with the tourist, and the Uttarakhand State Emergency Operations Centre (SEOC) has been instructed to conduct a search for her,” the statement said.

Of the 171 tourists from Maharashtra, 160 are safe at various locations – 31 are in Matli, six in Jolly Grant, and 123 in Uttarkashi – and have continued their journey as planned. The remaining 11 tourists are safe in Harsil and will be airlifted to safety, it stated.

Mahajan is overseeing the rescue operation on-site in Uttarkashi to ensure the safety of tourists.

The Maharashtra State Emergency Operation Centre (SEOC) is in constant touch with its Uttarakhand counterpart, the district control room, the district emergency operations centre in Uttarkashi, and the National Emergency Response Centre in New Delhi.

According to the statement, Chief Minister Devendra Fadnavis is monitoring the situation.

As per information shared by Uttarakhand authorities, the airlift of tourists stranded in Harsil was scheduled for Saturday morning. Army, NDRF, SDRF and local rescue teams are operational in Dharali.

The landslide and floods have damaged roads and disrupted communication networks. Efforts are underway to restore connectivity and basic infrastructure.

A satellite phone has been deployed by IGP Rajeev Swaroop, and the Army has been alerted for immediate response.

The Maharashtra SEOC is coordinating rescue arrangements, updating information, and assisting the concerned families, the statement added.

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