India Business Journal - States borrow 43.5% more in 9 months

STATES

States borrow 43.5% more in 9 months

IBJ Bureau
Dec 30, 2020

At Rs 5,55,900 crore, the States, whose finances have been ravaged by the pandemic, have snapped up as much as 43.5 per cent more debt from the market during the first nine months of the current fiscal. According to an analysis by rating agency ICRA, States had borrowed Rs 3,87,400 crore in the first nine months of FY20. What is significant is that over 65 per cent of these Rs 5.55 lakh crore borrowings have been lapped up by just five, top-borrowing States –Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh and Telangana – during these months.