Current state of AP finances
Fiscal Profligacy in Budgetary data:- According to the data released by the RBI, the outstanding liabilities of Andhra Pradesh at the end of March 2022 was RS . 3.80 Lakh crores , at the end of march 2023 , it stood at RS. 4.28 lakh crores, at the end of March 2024 , it reached RS.4.85 Lakh crores (RBI, 2023) . We can also witness a significant growth in Gross Fiscal Deficit from RS. 25,000 crores in accounts 2022 to RS.54,587 crores as per BE 2024. At present , Andhra Pradesh's debt to Gross State domestic product is 33.5 percent. Moreover the Andhra Pradesh Government had played a smart game because, if we go through the data once again at the end of march 2023 , the maturity profile of outstanding State Government Securities , 4.5 % of securities will mature in 1 year , 29.3% securities in 1 to 5 years , 28.5 % securities in 5 to 10 years, 38.5% of securities in 10 to 20 years, which is implying a higher roll over risk or financial burden on state governments in the upcoming