Andhra lost Rs 6.94 lakh cr due to 'reduced growth' in last 5 years: White Paper

Hyderabad: Holding the previous YSRCP government responsible for the financial crisis that Andhra Pradesh is facing, a white paper released by chief minister N Chandrababu Naidu, said that the state had lost Rs 6.94 lakh crore because of a 'reduced growth rate' in the last five years.

While releasing the white paper on the fiscal health of the state between 2019 and 2024 in the state assembly on Friday, Naidu said that had the growth rate of 13.5 percent (in 2019) continued in the succeeding years, the state would have gotten an additional revenue boost of Rs 76,195 crore.

Even after considering the COVID impact, an additional revenue of Rs. 52,197 crore should have come to the state, he said. As of today, Andhra Pradesh's debt and liabilities total Rs 9,74,556 crore, he added.

“The state has suffered more in the past five years than during the bifurcation and the previous government is squarely responsible for the present financial crisis that the state is now facing. The state has suffered heavily as the development of the capital city of Amaravati has been stalled. The revenue has fallen heavily as the capital expenditure has been reduced,” he said.

He stated that the funds meant for various programmes were diverted, while public property was mortgaged to raise loans 'extensively'. Naidu pointed out, "By June 2024, the debt burden on the State was a whopping Rs 9,74,556 cr and this is likely to go up much more," the Chief Minister observed.

Expressing concern over the inordinate delay in completing the Polavaram project and the wastage of funds on unnecessary expenses, the Chief Minister felt that the state is almost on the verge of bankruptcy.

He added that Telangana is marching ahead in several sectors, like industry, farming and infrastructure, as it has more urban areas, including the metro city of Hyderabad, in that state.

"I am happy that both are Telugu states and in a way I am satisfied because Telangana is continuing the development for which I have laid the foundation. But here, (in Andhra) we have to start again from the beginning," he said.

Explaining how the earlier TDP regime had taken up various developmental works like irrigation projects, airports, roads, industrial corridors, and ports, the Chief Minister said that during that time Andhra Pradesh was the byword for investments as companies flocked to the state to set up businesses.

Kia Motors, Hero, Asian Paints, Isuzu Motors and Celkon had all launched their units in the State, he explained.

Had the development of Amaravati been continued, the city would have become one of the world's best cities, he felt and expressed confidence that measures will now be initiated to bring back the past 'glory' to Amaravati.