Daijiworld Media Network - Panaji

Panaji, Jan 30: The Comptroller and Auditor General (CAG) of India has expressed concerns over Goa's rising debt and has asked the state government to prepare a road map for repaying the outstanding loans before the state falls into a debt trap. This is the second time the CAG has asked the BJP led government to consider preparing a fiscal recovery and management plan.

Goa's outstanding fiscal liabilities increased by 47 percent from Rs 13,877 crore in 2014-15 to Rs 20,412 crore by the end of 2018-19. The debt outstanding debt has also shown a corresponding increase in interest payments with a 30 percent jump from 935 crore in 2016-17 to Rs 1,204 crore in 2019-20.

"The state government may consider developing a debt sustainability framework for achieving improved long term sustainability in fiscal deficit management and to guide the borrowing decisions of the state in a way that matches their financing needs with current and prospective payment," the CAG said.