Goa Chief Minister Manohar Parrikar today said that the financial condition of the state was “very good” and its borrowings were within the permissible limit for the current financial year.
Responding to a cut motion moved by the opposition during the demand for grants of the Finance ministry, Parrikar said, “Goa’s financial condition, in spite of the mining ban, is good, rather very good because the state loan to GSDP ratio is below 20 per cent.”
Parrikar, who also holds the state Finance portfolio, told the Legislative Assembly that the usual norm is that loans should not exceed 25 per cent of the Gross State Domestic Product (GSDP).
He said that a lot of capital spending had been done despite the state government controlling expenditure.
“Last year, the borrowing limit was Rs 2,100 crore but we borrowed only Rs 1,600 crore. This year the limit is Rs 2,668 crore but we are trying to control it to Rs 1,800 crore,” he said.
He said that the revenue collection of the state was good and this had allowed the government to spend Rs 700 crore on infrastructure development till July in the current fiscal.
This spending on infrastructure, he said, would average Rs 2,300 crore for the entire year.
Rubbishing allegations of the state’s poor financial health, Parrikar said, “Forget what they are saying. Our numbers speak. Per capita income is Rs 4.65 lakh,” Parrikar told the House.