DIMAPUR — Nagaland’s total outstanding
liabilities as of March 2024 were INR 18,166 crore, according to the Centre.
In response to an unstarred query on ‘debt burden on state
governments,’ the Minister of State for Finance, Pankaj Chaudhary, provided
state-wise data in the Lok Sabha on Monday.
Tamil Nadu had the highest total outstanding liabilities
with INR 8,34,544 crore. Citing the Reserve Bank of India’s report titled
‘State Finances: A Study of Budgets of 2023-24,’ he informed that the ratio of
interest payment to total outstanding liabilities of state governments for the
year 2023-24 (budget estimates) ranges from 4.21% to 7.01%.
In the same state-wise data, the minister informed that
Nagaland’s ‘Debt to GSDP Ratio’ was 44.3%. Arunachal Pradesh, with 50.4%, had
the highest ratio.
The debt-to-gross state domestic product (GSDP) ratio is a
fiscal indicator that shows a state's debt obligations and ability to repay
debt. A higher ratio indicates a higher risk of default and more debt
obligations.
