Tamil Nadu Finance Minister PTR Palanivel Thiyagarajan has said the state has a debt of 5.7 lakh crore rupees. He released a white paper on the state finances in Chennai yesterday.
“The position of the state finances has become the bone of contention between the ruling DMK that recently came to power and the opposition AIADMK that was ruling for over ten years. State finance minister Palanivel Thiyagarajan said a major course correction is required to put the state finances back on a growth trajectory. He said the interest payments for the visible debt of the government and the public sector undertakings is about 295 crore rupees every day. He said the central government grant of about 2577 crore rupees for the local bodies were lost due to failure to hold the elections in time.