Mumbai: Maharashtra’s financial burden is growing at an alarming rate, with the state’s debt projected to reach Rs 9.32 lakh crore by the end of the 2025-26 fiscal year. This translates to a debt of Rs 72,761 per citizen, for an estimated 12.8 crore of the state's population.
According to a report by NGO Samarthan, an independent organisation that analyzes state budgets, Maharashtra’s total debt rose by Rs 1.02 lakh crore in the past year and is expected to increase by another Rs 92,967 crore in the coming fiscal year. The budget, presented by Finance Minister Ajit Pawar, has raised concerns over the state’s ability to manage its finances effectively.
Growing Debt Poses Major Risk
Currently, Maharashtra’s debt stands at Rs 7.82 lakh crore. With revenue income estimated at Rs 5.36 lakh crore for 2024-25 and projected to rise to Rs 5.61 lakh crore in 2025-26, financial experts warn that the growing debt will majorly impact future development spending.
According to a Hindustan Times report, Rupesh Keer, a member of Samarthan, pointed out that the state’s debt has doubled in just eight years. “Maharashtra’s debt was Rs 4.02 lakh crore in 2017-18. By 2024-25, it had surged to Rs 8.39 lakh crore. This sharp rise means that each citizen of the state is effectively carrying a financial burden of Rs 72,761,” Keer said.
A major concern in the budget is the soaring interest payments. Maharashtra will spend Rs 64,659 crore on interest alone this year, up from Rs 54,687 crore last year. Interest payments now consume 11.53% of the state’s total revenue receipts, leaving fewer funds for infrastructure and welfare projects.
Opposition Slams Govt For Poor Fiscal Management
The opposition has criticised the government’s handling of public finances. During a debate in the Maharashtra Legislative Council, Leader of Opposition Ambadas Danve remarked, “Maharashtra is spending Rs 65,000 crore annually just on interest payments. The government’s financial mismanagement is evident, and the public will ultimately bear the burden.”
As Maharashtra’s debt continues to rise, the question remains: how will the government address this growing financial challenge and what impact will it have on the common citizen?
