CHENNAI: Sitting on a debt pile of a whopping `3 lakh crore, the State government is now working on a strategy to design and implement projects that are self-sustaining, a top government official said.
“The State’s debt is well within the norms set by the finance commission. We don’t have immediate debt-related crisis that some other states do; our debt is less than 20 per cent of the State GDP,” the official said.
Yet, to address the situation, a proposal has been mooted to involve experts from RBI, Union and State governments to study the State economy and finance and devise a scheme for generating financial surpluses, say industry sources.
“The focus is on projects that can raise money on their own. The TN Infrastructure Fund Management Corporation will look at the projects and an independent investment committee will decide,” the official said.
While industry sources said a proposal has already been submitted to involve a reputed agency to suggest the optimal use of wealth and assets available in the State to eliminate public debt, the official said he is not aware of it. However, sources claimed a draft has already been submitted that has 20 ideas. “It is still at the nascent stage,” sources said.
“The projects could include electrification of State transport buses, setting up marine foods special economic zone or electric tram systems for smaller cities thus cutting down on use of diesel,” sources added.