Amaravati, Nov 16 – Former Andhra Pradesh chief minister Y.S. Jagan Mohan Reddy has slammed the current TDP‑led state government, saying its numbers reveal weak growth, low investment and a rising debt load. He posted his critique on X (formerly Twitter) and cited fresh Committee of the Auditing General (CAG) data to back his claims.
Revenue growth is shutting down
Jagan said the first‑half figures for FY 2025‑26 show the state’s own tax revenue rising just 7.03 % from the same period last year – barely enough to keep pace with a growing economy. “GST and sales tax together grew only 2.85 %,” he noted, adding that over the past two years the compound annual growth rate (CAGR) of tax revenue has slipped to a disappointing 2.75 %.
The BJP‑led opposition, he warned, is pushing a narrative of “stupendous” growth while the real numbers suggest otherwise. Naidu’s cabinet has boasted that the Gross State Domestic Product (GSDP) would grow 12.02 % in FY 2024‑25 and 17.1 % in FY 2025‑26, which would normally translate into a tax‑revenue CAGR of 12‑15 %. Instead, the revenue growth has lagged at only 2.75 %, according to the CAG report.
Capital expenditure is shrinking
Jagan pointed out that capital spending fell at a CAGR of –16 % over the same two‑year window, a stark contrast to the money poured into development projects by the previous YSR Congress Party (YSRCP) administration. In the first quarter of FY 2025‑26, the state’s own revenues grew just 3.47 % YoY, and GST plus sales tax dipped each year. Yet Naidu’s government still claims a 10.50 % GSDP growth for the quarter—an assertion the ex‑leader found “ill‑ogical.”
Debt is piling up
The only bright spot, according to Jagan, is the state’s debt. TDP‑led officials have already arranged to borrow more than ₹206,000 crore—about 62 % of what the YSRCP borrowed over five years. While critics focus on revenue and investment, the debt climb is a growing concern for the state’s finances.
What the numbers show
Looking back at the five years when YSRCP governed (2019‑24), tax revenue actually grew at 9.87 % CAGR, climbing from ₹58,031 crore to ₹92,922 crore. The GSDP grew at a comparable 10.23 % CAGR, proving that higher revenues can track healthy growth. Jagan asked why Naidu could claim rapid progress when the numbers tell a different story.
Key takeaways
- Andra Pradesh’s state revenue growth is far below the governmental promises.
- Capital spending is falling, not rising.
- Debt is accelerating faster than under the previous administration.
- Critics argue the current TDP coalition’s performance does not justify the claims of strong economic growth.
These criticisms come as Andhra Pradesh navigates its next fiscal year, with voters keeping an eye on how much the government can deliver in terms of growth, investment, and debt management.
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