Assam's Financial Strategy: Navigating Loans and Repayments in 2023-24

The Assam government has secured a loan exceeding Rs 24,000 crore for the fiscal year 2023-24. State Finance Minister Ajanta Neog revealed in the assembly that a sizeable Rs 6,900 crore loan was repaid last year. Loans from various sources were managed while maintaining a debt-to-GSDP ratio below the permitted limit.

The Assam government has secured a substantial loan of over Rs 24,000 crore for the fiscal year 2023-24, as announced by State Finance Minister Ajanta Neog in the legislative assembly. This financial maneuver aims at bolstering the state's fiscal activities.

In her address, Neog highlighted the proactive measures taken by the government to manage its debt obligations, with more than Rs 6,900 crore repaid during the previous financial year. The strategic borrowing from markets and financial institutions, including NABARD, illustrates the state's efforts to balance its fiscal responsibilities.

Despite the notable loan figures, the state has succeeded in maintaining a debt-to-GSDP ratio of 24% for 2023-24, significantly below the maximum threshold of 32% under the Assam Fiscal Responsibility and Budget Management Act. This achievement demonstrates prudent financial management by the administration.

(With inputs from agencies.)