KTR CONCERNED ABOUT TELANGANA’S ECONOMIC SITUATION

Bharat Rashtra Samithi (BRS) working president K.T. Rama Rao (KTR) has raised serious concerns over what he describes as a “red alert” in Telangana’s finances, accusing the current state government of mismanagement that could push the state into an economic crisis. Citing a recent report from the Comptroller and Auditor General (CAG), KTR highlighted a sharp decline in revenue growth coupled with a steep increase in public debt warning that if corrective measures are not taken swiftly, the fiscal health of the state could be severely compromised.

According to the CAG’s findings, Telangana has witnessed a concerning dip in its revenue receipts over the last financial year. While the state had once been among the fastest-growing economies in the country, the report indicates that tax collections have slowed, non-tax revenue has shrunk, and several government departments have failed to meet their fiscal targets. KTR stressed that such trends are symptomatic of deeper structural issues rather than short-term fluctuations.

“Telangana’s economy is not in safe hands right now,” KTR declared at a press conference. “The CAG has clearly pointed out inefficiencies in revenue management, mounting liabilities, and unplanned borrowing. The government owes the people an explanation on how it plans to stabilize finances before the situation spirals out of control.”

Mounting Debt and Fiscal Deficit

One of the most alarming statistics from the CAG report, as highlighted by KTR, is the rapid rise in the state’s public debt. Borrowings have grown significantly over the past two years, with a large share going towards meeting routine expenditure rather than long-term infrastructure projects that generate economic returns. This, he warned, is a dangerous pattern that could trap Telangana in a cycle of debt servicing, leaving less room for developmental spending.

The report also points to an increasing fiscal deficit, with expenditure consistently outpacing income. KTR criticized the government for allegedly masking the gravity of the problem by presenting overly optimistic budget projections. “A family cannot survive by living beyond its means indefinitely, and the same applies to a state,” he remarked, emphasizing the need for fiscal discipline.

Calls for Transparency and Action

KTR demanded that the Chief Minister and Finance Minister release a detailed white paper on the state’s finances, including a breakdown of debt obligations, pending payments, and revenue-generation plans for the coming years. He also urged them to clarify whether ongoing welfare schemes are financially sustainable without burdening future generations.

“The people of Telangana have the right to know how their tax money is being used and whether the promises made to them are backed by solid financial planning,” he said. “We are not against welfare programs, but they should be funded through responsible budgeting, not reckless borrowing.”

Political and Economic Implications

Economists warn that if the trends highlighted by the CAG continue, Telangana could face reduced investor confidence and higher interest rates on future borrowings. This, in turn, could affect job creation, infrastructure growth, and the government’s ability to deliver on its social commitments.

Political observers note that KTR’s remarks are also part of a broader effort by the BRS to position itself as a vigilant opposition force, holding the government accountable for what it sees as economic mismanagement. With state politics already heated, these allegations are expected to fuel further debate in the Assembly and among the public.

The Road Ahead

KTR has called for a comprehensive fiscal reform strategy that prioritizes efficient tax collection, curbs wasteful expenditure, and channels borrowings into projects with measurable economic returns. He also advocated for greater use of technology in revenue administration and for a transparent monitoring mechanism to track government spending.

In closing, KTR cautioned, “A red alert means danger is ahead. The CAG’s report is a wake-up call. The government must treat this with the urgency it deserves, because financial stability is not just about numbers it is about the future of every family in Telangana.”

As Telangana navigates its post-pandemic economic recovery, the coming months will reveal whether the state can balance growth aspirations with fiscal prudence or whether the “red alert” will turn into a full-blown crisis.