CHENNAI: Finance Minister Thangam Thennarasu on Monday said that the rate at which the state’s overall debt grew was higher during the previous AIADMK regime than during the present government. He said this in the Assembly while refuting the AIADMK’s allegation that the present government is accumulating more debt.
From 2011 to 2016, when late AIADMK supremo J Jayalalithaa was the CM, the debt increased from Rs 1.013 lakh crore to Rs 2.11 lakh crore, Thennarasu said, adding that the “debt growth rate” was 108%. Similarly, between 2016 and 2021 when AIADMK general secretary Edappadi K Palaniswami was the CM, it (debt) grew at an even higher rate of 128% to Rs 4.8 lakh crore.
However, after Chief Minister MK Stalin came to power during Covid-19, the debt has grown at 93% and is estimated to reach Rs 9.3 lakh crore in 2025-26 as per budget estimates, he argued.
“If you blame us for the debt, what will you say about the debt growth rate during your regime from 2011 to 2021? This Rs 9 lakh crore debt also included the debt taken by the previous AIADMK governments,” the finance minister said.
He further stressed on the need for viewing the debt relative to the state’s GDP and not in absolute numbers. He highlighted that TN is the second biggest economy in India.
“Are we the only state taking debts? For instance, India’s debt is Rs 181.74 lakh crore. Similarly, the US’s debt is Rs 3,149 lakh crore. TN’s debt is Rs 8.30 lakh crore. In that case, is the US economy 350 times worse off than us,” he asked.
These concerns were raised by senior AIADMK leader and Veppanahalli MLA
K P Munusamy, who questioned the possibility of TN becoming a trillion-dollar economy by 2030, as intended by the DMK government, when the debt keeps mounting.
Thennarasu said that the CM has eliminated the slackness in the economy after assuming power and the state’s economy is resilient with a strong foundation. He said the state’s growth rate for 2025-26 is projected to be 14.5% (at current prices), which, the minister contended, is twice the country’s growth rate.
Becoming a trillion-dollar economy is not impossible, considering measures taken by the CM, and if the state keeps propelling its economy at the same pace, he added.
Bid to divide AIADMK won’t succeed: EPS
Chennai: Amid continuing speculation about differences between former minister KA Sengottaiyan and himself, AIADMK general secretary Edappadi K Palaniswami on Monday asserted that no one could divide the party since it stands united. When asked why Sengottaiyan did not take part in the MLAs meeting on Monday also, Palaniswami quipped: “This question seems to be so important to you. Why are you (the media) so keen on dividing us? We are always united. No one can divide us.” Palaniswami also said, “Ever since I became chief minister, this plan (engineering a divide in the party) has been on. But we have been thwarting those plans. The AIADMK cannot be split,and frozen.”