GUWAHATI, Dec 22: Assam chief minister Himanta Biswa Sarma on Wednesday said the state government would publish a white paper on the loans taken against projects in the state and place the same in the next session of the state Assembly.
Countering the allegations raised by the Opposition parties that the state government had taken more loans than it should have, Sarma said the state could get more loans and could repay them on time because its Gross Domestic Product (GDP) had grown considerably over the past three years.
“The Assembly had permitted the government to take Rs 16,000 crore this year but the government will take a loan of Rs 14,000 crore this fiscal, and Rs 18,000 crore and Rs 22,000 crore annually, in the next two years respectively. This will be possible because our GDP has grown. This year, it is likely to grow by 12.5 percent,” the chief minister informed the House on the third day of the winter session.
Sarma pointed out that Assam’s percentage of loans taken on GDP was much lower than states such as Bengal (35 percent loan on GDP), Punjab (52.5 percent) and Rajasthan (33 percent).
He further said that since the GDP of the state was likely to grow to Rs 4.10 lakh crore, the state could take loans for various projects.
Countering allegations on loans exceeding its limits, Sarma said that the Assembly had allowed the state government to take loans at 3.5 percent of the state’s GDP.
The chief minister clarified that the state’s borrowings have been within limits.
“The state government has been able to repay the loans with interest on time. However, to provide more clarity on the issue (that has been raised by the Opposition members), the state government will publish a white paper and submit it in the next Assembly session,” he said.
Sarma said that the loans taken were for development based on the state’s GDP growth and that the borrowings have taken place for capital projects so that improved infrastructure across sectors was created.
The chief minister further clarified that no additional taxes were imposed by the state government.
Sibsagar MLA, Akhil Gogoi had on Tuesday staged a protest against the government debts, alleging that the state’s economy has been adversely affected because the state had exceeded its borrowing limits.
