State borrowings well within limit, Laxmikant Parsekar tells Goa House

Goa Chief Minister Laxmikant Parsekar on Wednesday said the state has been borrowing within the limits as against the picture projected by the Opposition that the government is heading towards a big debt trap.

PTI| Last Updated: Jul 29, 2015, 14:49 PM IST

Panaji: Goa Chief Minister Laxmikant Parsekar on Wednesday said the state has been borrowing within the limits as against the picture projected by the Opposition that the government is heading towards a big debt trap.

"We have annual borrowing limit of Rs 1,907 crore of which we have borrowed Rs 400 crore in last five months," Parsekar told the State Legislative Assembly today.

He said the borrowings had to be done as the revenue has stopped from the mining industry, since its closure three years back.

The Chief Minister was responding to a question tabled by Independent legislator Naresh Sawal.

"It is not that just BJP-led government has been involved in borrowing loans. All the former governments have also borrowed to meet the financial requirements of the state," Parsekar said.

The chief minister said out of total amount borrowed, the state government has allotted Rs 160 crore for public works department, Rs 35 crore for Water Resources department, Rs 65 crore for electricity, Rs 150 crore for Goa State Infrastructure Development Corporation (GSIDC), Rs 20 crore for Sewerage Corporation and Rs 25 crore for Tourism.

Parsekar said these borrowings were invested in the capital expenditure "which is most productive investment for future."

The state has generated a revenue of Rs 500 crore in this financial year till date.