Goa's Fiscal Discipline: Balancing Debt and Growth

The Goa government has effectively managed its borrowings within the limits of the Fiscal Responsibility and Budget Management Act, utilizing loans for capital works rather than for salaries or pensions. Chief Minister Pramod Sawant emphasized a declining debt-to-GSDP ratio, indicating improved fiscal health and future sustainability.

Goa has maintained fiscal discipline over the last five years by keeping its borrowings within the Fiscal Responsibility and Budget Management (FRBM) Act limits, according to Chief Minister Pramod Sawant. The funds were directed towards capital works rather than salaries or pensions, the legislative assembly was told on Wednesday.

During a session addressing a starred question from Leader of Opposition Yuri Alemao, Sawant provided a comprehensive breakdown of the state's financial obligations, including annual interest payments, highest interest rates, and outstanding debt details.

Sawant highlighted the state's declining debt-to-GSDP ratio, from 34.63% in 2020-21 to an anticipated 27.05% by 2024-25, showcasing Goa's commitment to fiscal sustainability despite challenges.

(With inputs from agencies.)