‘Growth dip in 2019-24 cost Andhra Pradesh Rs 6.94L crore’
VIJAYAWADA: Squarely blaming the YSRCP regime for the financial mess inherited eight months ago, Finance Minister Payyavula Keshav has asserted that the coalition government, through concerted efforts, made adequate budgetary allocations to all the departments, laying equal emphasis on development and welfare.
Replying to the budget discussion in the AP Legislative Assembly on Tuesday, he said Andhra Pradesh’s growth rate declined from 13.5% to 10.5% under the YSRCP government during 2019-24, costing the State Rs 6.94 lakh crore. In a sarcastic jab, Payyavula likened the YSRCP to smoking and alcohol, warning it is injurious to society and the State.
Lauding the insights of 30 MLAs who actively participated in the budget discussion, the Finance Minister termed the absent YSRCP members dropouts.
Payyavula admitted the initial despair over the financial chaos, but said a visit to Chief Minister N Chandrababu Naidu’s office revived hope. “Our leader showed us the way, and urged us to take challenges head-on,” he said.
Pledging 25 years of excise revenue, government buildings, Rythu Bazaars, and Vizag Circuit House, compromising even the Governor’s security, reflected the financial recklessness of the YSRCP regime. “When I cautioned them as the Public Accounts Committee Chairman, I faced ridicule,” he recounted.
Making a PowerPoint presentation, Payyavula revealed that Andhra Pradesh’s State Own Resources (SOR) for the Financial Year 2024-25 were Rs 1,01,985 crore, with 87% (Rs 89,008 crore) spent on salaries and pensions, compared to Telangana’s 30% (Rs 51,682 crore of Rs 1,73,389 crore).
Goal is to realign derailed economy by 2030: FM
Tax devolution (Rs 52,080 crore) was outstripped by debt interest (Rs 65,962 crore, 127%), with combined SOR and tax devolution (Rs 1,54,065 crore) barely covering salaries, pensions, and interest (Rs 1,54,971 crore), excluding education and health costs, he said. Payyavula contended that borrowing is justified if it fuels productive capital investment to create wealth, unlike YSRCP government’s mismanagement. “Those who can’t create wealth have no right to distribute it,” he observed.
The NDA government’s goal is to realign the derailed economy by 2030 for Vision 2047. He detailed the YSRCP regime’s misuse of corporations for loans without repayment, abandonment of Central schemes, and midway scrapping of EPAC projects.
“Our government, with finance officials and Chandrababu’s brand, is correcting this. We’re renegotiating high-interest loans from 141 corporations, paid Rs 8,695 crore to revive Central schemes, and restarted 77 of 95 halted projects. We are confident of meeting the CM’s expectations, and reviving the economy with everyone’s cooperation,” he concluded.