HYDERABAD: The state government seems to be exhausting its borrowing limit much faster in the current fiscal 2021-22 over previous fiscal 2020-21.
The government is looking to raise Rs 3,000 crore more on Tuesday to meet Rythu Bandhu expenditure. It needs to credit Rs 7,508 crore as Rythu Bandhu assistance in the bank accounts of 63.25 lakh farmers from June 15 to 25.
The government’s earnings have taken a severe beating in both the fiscals due to the outbreak of the first and second waves of the Coronavirus. With this, the government is depending heavily on loans to meet expenditure on welfare schemes, development programmes and administrative affairs.
The government has already borrowed Rs 3,500 crore this month. The government pinned its hopes on raising funds through sale of lands from July in addition to loans that were recently put up for e-auction. The government mobilised Rs 4,500 crore loans through auction of bonds in April and May.
It had proposed to…