Haryana CM defends debt management, highlights fiscal prudence

Pre-empting criticism from the Opposition regarding the rising debt burden in a Budget that draws extensive comparisons to the previous regime, Haryana Chief Minister Nayab Singh Saini, who also holds the Finance portfolio, firmly stated that attempts were made to mislead the public. He emphasised that the government remains well within the Fiscal Responsibility and Budget Management (FRBM)-prescribed debt limit.

Debt percentage same

Clearly, today's outstanding debt is the same percentage less than the set limit as it was in the year 2014-15.

– Nayab Singh Saini, chief minister

Ignore absolute numbers

We should not go by absolute numbers when it comes to debt since it has to be in the context of the Budget size.

– Anurag Rastogi, chief secretary-cum-finance secretary

Highlighting that the outstanding debt of the Haryana Government as a percentage of GDP was 6.67% below the limit set by the Finance Commission in 2014-15, Saini asserted that even in 2024-25, the debt-to-GDP ratio would remain 6.67% below this limit. “Clearly, today's outstanding debt is the same percentage less than the set limit as it was in the year 2014-15,” he said.

The CM also pointed out that the debt incurred by government undertakings, which is excluded from the government’s debt figures, has not increased by a single rupee over the past decade. He accused critics of deliberately ignoring these facts.

Haryana has 43 government undertakings (24 registered under the Companies Act and 19 under the Cooperative Societies Act). The total outstanding loans of these entities stood at Rs 69,922 crore in 2014-15, which has since been reduced to Rs 68,295 crore in 2023-24. “It is important to note that in 2008-09, the outstanding loan of these government undertakings was Rs 30,233 crore,” Saini said, underscoring the improved fiscal management under his government.

“These figures show that while the outstanding debt of government undertakings increased from Rs 30,233 crore to Rs 69,922 crore in the six years from 2008-09 to 2014-15, it has decreased by Rs 1,627 crore in the nine-year period from 2014-15 to 2023-24. This clearly demonstrates that our government has effectively controlled the loans of public sector undertakings over the past 10 years,” the CM added, taking credit for the fiscal turnaround.

Later, addressing a press conference after his Budget speech, Saini expressed confidence that the Budget would bring a “change in the lives of the public.” He attributed the “miracle” to Prime Minister Narendra Modi and the “radical changes” introduced by former Chief Minister Manohar Lal Khattar, which resulted in a net profit of Rs 1,746 crore by 28 undertakings. In contrast, only 20 undertakings were profitable in 2014-15, with a combined profit of just Rs 450 crore.

Chief Secretary and Finance Secretary Anurag Rastogi, speaking at the press conference, cautioned against focusing solely on absolute debt figures. “We should not go by absolute numbers when it comes to debt since it has to be in the context of the Budget size,” he stated.

During his Budget speech and the subsequent press conference, Saini revealed that he had received nearly 11,000 suggestions from stakeholders and the public through a dedicated portal. He also noted that the government, since assuming power in October last year, had fulfilled 19 out of 217 promises outlined in its Sankalp Patra, with work progressing rapidly on 14 more. “I believe that with the approval of today's Budget provisions by this House, we will be able to fulfil approximately 90 more Sankalps in the upcoming financial year,” he said.

Total allocation Rs 2.05 lakh cr

UPS pension for staff

On the lines of the Unified Pension Scheme (UPS) notified by the Government of India on January 24, 2025, the employees of Haryana Government will also be given the benefit of UPS. The scheme will benefit around 2 lakh employees.

Smart roads, smart markets

• In the financial year 2025-26, one 4-5 km road in each city and one 10-15 km road in each district will be upgraded to a smart road.
• Also, one old market in every city will be transformed into a smart market, and one street in each village will be developed into a smart street.
• A special provision of Rs 5 crore has been made for each MLA for carrying out development works in their respective constituencies during the tenure of this Assembly.

Focus on industrial growth

The Industries Department has got a whopping hike of 129% from Rs 805 crore to Rs 1,848 crore in the Budget. Efforts are on to develop Haryana as “zero water wastage industrial area.”

Sports sector

The sports sector has got a 42% hike from Rs 1,381 crore to Rs 1,961 crore.

‘Housing for all’ gets 303% hike

The Housing for All department has been given a whopping hike

of 303% (Rs 2,444 crore), up from 605 crore.

New horticulture policy

Rs 4,229 crore has been allocated for agriculture and farmers welfare,

new horticulture policy has also been announced.

School education gets Rs 17,848 cr

The Budget has allocated Rs 17,848 crore for school education and Rs 3,874 crore for higher education.

LEADER SPEAK 

Will fulfil aspirations of 2.8 cr people

The Budget reflects our unwavering commitment to the welfare and development of every section of society. It will fulfil the aspirations and expectations of 2.8 crore people of the state and provide Haryana’s roadmap for ‘Viksit Bharat’ by 2047.

— Nayab singh Saini, Chief minister

Jugglery of statistics

The Budget is the jugglery of statistics. There is nothing worthwhile for any section of society. Even the Rs 5,000-crore allocation to provide Rs 2,100 financial incentive to women is too little.

— Bhupinder Singh Hooda, ex-Chief minister

Rs 3.52 lakh crore state debt

The Budget has disappointed all sections — farmers, industrialists, government employees and small traders. The BJP government’s only achievement has been the mounting debt on Haryana that has crossed Rs 3.52 lakh crore.

— Abhay Chautala, INLD secretary general