Delhi's debt increases by Rs 8,000 crore in last decade: Eco survey

The outstanding debt of the Delhi government has increased by over Rs 8,000 crore in the last ten years, says the Economic Survey (2017-18) tabled in the assembly today.

According to the survey report tabled by Deputy Chief Minister and Finance Minister Manish Sisodia, the city government had an outstanding debt of Rs 25,338.96 crore in 2007-08, equalling 16.04 per cent of its Gross State Domestic Product (GSDP).

"In 2016-17, the outstanding debt increased to Rs 33,344.90 crore and the debt: GSDP ratio declined substantially to 5.41 per cent," the survey stated.

Despite the increase in debt, the report claimed that the situation was "under control" in the national capital.

"The ratio of interest payment to revenue receipts also got reduced to 8.39 per cent in 2016-17 from as high as 16.79 per cent in 2007-08. This clearly indicates that the debt problem is well under control in the city," the report stated.

The survey also noted that the Delhi government received small saving loan of Rs 1,695.53 crore in 2016-17 as against Rs 22,41.13 crore received in 2015-16.

Delhi has not been covered under the recommendations of the 14th Central Finance Commission (CFC) whose term covers the period from 2015-16 to 2019-20.

"Delhi remains a loser on account of the dispensations recommended by the 14th Central Finance Commission to states which include share in central taxes, grant-in-aid for local bodies on account of basic and performance grants and grants for calamity relief among others," it said.

The report added that Delhi only gets discretionary grant in lieu of share in central taxes, which is stagnant at Rs 325 crore since 2001-02.