The Jammu and Kashmir government has reported its total debt as exceeding Rs 1.25 lakh crore as of March 31, 2024. This figure, disclosed by Chief Minister Omar Abdullah in response to an assembly query, includes Rs 27,901 crore in General Provident Fund (GPF) liabilities.
Breakdown of the Debt:
- Total Debt: Rs 1,25,205 crore
- Major Components:
- Loans from RBI and state development: Rs 69,894 crore
- General Provident Fund (GPF): Rs 27,901 crore
- Reserves: Rs 14,294 crore
- National Small Savings Fund: Rs 5,758 crore
- Negotiated loans: Rs 4,032 crore
- UDAY power loans: Rs 2,616 crore
- Government of India advances: Rs 710 crore
- Outstanding liabilities in treasuries: 5,429.49 crore.
Debt in Relation to GSDP:
- The total debt represents 52% of Jammu and Kashmir’s Gross State Domestic Product (GSDP), which is Rs 2,38,677 crore, according to the Economic Survey Report (ESR) 2024-25.
- Public debt accounts for 66% of the total on-budget outstanding debt, with internal debt making up the majority.
- The debt as a percentage of GSDP has increased from 47 percent in FY2014 to 51 percent in FY2024.
- Over the past decade, the proportion of internal debt has increased, while the share of the provident fund has decreased.
Key Points:
- The significant portion of the debt is attributed to loans from the RBI and state development.
- The GPF constitutes a substantial liability.
- The ESR highlights the increasing proportion of internal debt.
- The overall debt as a percentage of GSDP is rising.
