Gujarat's "total debts" reach to Rs 1.85 lakh crore, a rise of nearly 13 per cent in a year: Sustainable?

Counterview Desk
Gujarat’s total debts are set to touch Rs 1.85 lakh crore by March-end 2014, highest ever. The latest “State Finances: A Study of Budgets of 2013-14”, released last month end, has said that the state’s total debts – which include internal debt taken from the market and other funding sources as also different types of liabilities – has said that the state’s total debts would rise by about Rs 21,000 crore in a year, from Rs 1.64 lakh crore last year as of March 2013. A rise of 12.87 per cent in a year, this is the highest increase in the debts in the last three years.
Gujarat’ debts, which were Rs 1.43 lakh in March 2011, rose by 5.79 per cent to reach Rs 1.51 lakh crore in March 2012, and further to Rs 1.64 lakh crore in March 2013, a rise of 8.50 per cent. Debts have been a major reason for the Gujarat government to avoid budget deficit in the recent past. They go to fund nearly 20 per cent of the state’s budget.
Significantly, if the RBI report is any indication, the state’s debts formed 24.6 per cent of the Gross State Domestic Product (GSDP) between 2010 and 2014, which is higher than the national average – 22.2 per cent. Debt-GSDP ratio signifies how deep a particular economy is in debt. Of the total Rs 1.85 lakh crore, Rs 1.45 lakh crore is internal debt.
Of the 17 major states, which the RBI report identifies as being under the “non-specific category”, the states with a higher amount of total debts as of March 2014 than Gujarat are – Andhra Pradesh (Rs 1.94 lakh crore), Maharashtra (Rs 2.94 lakh crore), Uttar Pradesh (Rs 2.85 lakh crore), and West Bengal (Rs 2.45 lakh crore).

The issue of debt sustainability of Gujarat has been a reason for major debate, especially among public figures. While politicians oppose to the BJP government in Gujarat argue that high debts are a reason of major concern, leading to great financial stress on the coffers, state officials say Gujarat’s debts are “perfectly sustainable”, as the state has paid all of them on dot.
State officials believe that a high rate of growth of the state economy is one reason why the Gujarat government is able to withstand any debt trap, in which states like West Bengal have got into. Critics, however, say that the state has been able to sustain high debts mainly because it has not been spending “enough” on the social sector, particularly education.
Thus, the Gujarat government’s projected expenditure on education in 2013-14 as percentage of total budgetary allocation is 13.9 per cent, which is one of the lowest in the country (click HERE to read). As many as 15 of the 17 major states spend a higher proportion on education. More, as for the social sector as a whole, the expenditure has got stagnated for the last several years.

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Amit Shah 'wrong': Lack of transparency characterized bank frauds, NPAs, jobs data

Counterview Desk
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By Rajiv Shah
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Counterview Desk
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By Our Representative
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By Our Representative
Even as the country was busy preparing for the Janmashtami festival on Saturday, Hareshbhai, a 46-year-old ceramic worker from suffering from the fatal lung disease silicosis, passed away. He worked in a ceramic unit in Thangadh in Surendranagar district of Gujarat from 2000 to 2016.
Hareshbhai was diagnosed with the disease by the GCS Medical College, Naroda Road, Ahmedabad in 2014. He was found to be suffering from progressive massive fibrosis. He is left behind by his wife Rekha sister and two sons Deepak (18) and Umesh (12),
The death of Hareshbhai, says Jagdish Patel of the health rights group Peoples Training and Research Centre (PTRC), suggests that silicosis, an occupational disease, can be prevented but not cured, and the Factory Act has sufficient provisions to prevent this.
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Cess for Gujarat construction workers: Spending less than 10%; no 'direct help' to beneficiaries

By Our Representative
While the Gujarat government’s Building and Other Construction Workers Welfare Board, set up in 2004, as of March 31, 2019, has collected a total cess of Rs 2,097.62 crore from the the builders, it has spent less than 10% -- Rs 197.17 crore. And, as on May 31, 2019, the total cess collection has reached Rs 2,583.16 crore, said a statement issued by Bandhkam Majur Sagathan general secretary Vipul Pandya.
Pointing out that just about 6.5 lakh out of 20 lakh workers have been registered under the board, Pandya said, vis-à-vis other states, Gujarat ranks No 13th in the amount spent on the welfare of the construction workers, while 11th in the amount collected.
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By Anand K Sahay*
There are times in history when facts call attention to themselves; they assert their independence in all its amplitude and are in no need of the crutch of interpretation. Such a moment is visible in Kashmir now. Merely by being on the table, the facts there taunt the regime’s proclamations.

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By Rajiv Shah
A top aide of Gujarat chief minister Vijay Rupani has doubted the authenticity of the article written by Mahatma on Gandhi January 27, 1948, three days before his death. Hitesh Pandya, who was assistant public relations officer (PRO) under Narendra Modi’s chief ministership in Gujarat, and is currently serving as PRO of Rupani, has said, there is “reason to doubt”, since the article appeared on February 1, 1948, two days after Gandhi’s assassination.

Why nobody objected to Gautam Gambhir, Sunny Deol in t-shirt, jean?: Activists

By Our Representative
Mimi Chakraborty and Nusrat Jahan’s excitement on their first day as MPs was overshadowed by a barrage of sexism over their ‘non- sanskari’ outfits, a group of civil society activists have said in a statement. According to Aarushi Nigam, Divya Kaushik, Riya Sharma, Ruman Ganguly, and Anulekha Agarwal, both Bengali actors and first-time MPs "were certainly excited to take them on when they posted pictures from their new workplace on social media."
Hit by misogynistic comments, the activists say, "Their choice of workwear – jeans and a white button-down shirt for Mimi, a wine-coloured peplum suit for Nusrat – was the first and last word on their political competence for many."
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Australian protesters picket, stop work of Adani contractors for Carmichael coalmine

By Our Representative
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The group say they have information that AC Whalan have put in a tender for Adani’s polyethylene pipe contract, though the company have not publicly announced. Spokesperson Donna Smit said, “AC Whalan have not publicly declared their interest in Adani’s Carmichael mine, understandably because the majority of Australians do not want this climate destroying mine.”
“The message we are sending to AC Whalan and all other companies involved with Adani is that we have our eyes on Adani’s contractors. With the effects of climate breakdown being seen right now across this country, any company that hopes to…

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