NEW DELHI: Expressing concern over the considerable soar in statesâ debt highlighted by the CAG, Congress mentioned the general public debt of states has tripled within the final decade, rising from Rs 17.57 lakh crore in 2013 to Rs 59.60 lakh crore in 2022. The celebration mentioned the states are victims of âcoercive federalismâ being adopted by the Modi authorities which isnât sharing revenues with them as desired, accusing the centre of enjoying âcess politicsâ.AICC spokesman and Rajya Sabha MP Randeep Surjewala mentioned the general public debt of states now quantities to 23% of the mixed GSDP of 28 states, however the states are being stripped of their fiscal independence by means of the Modi authoritiesâs dealing with of the GST Compensation Cess and arbitrary central levies. He mentioned this has resulted in âdouble jeopardyâ for states of mounting debt and shrinking revenues.âRs 1,70,000 crore is collected every year from âcesses and surchargesâ, but the centre keeps it without sharing anything with states. âCompensation Cessâ was created to pay the states for GST losses, which ended in June 2022. Now, the same cess is only used to repay Central loans. Beyond Oct 2025, there is no constitutional mandate to continue with it, yet the Centre wants to hold it exclusively,â he mentioned, demanding that the Centre share the cess with the states for the approaching ten years.Surjewala mentioned there seems to be a deliberate try to cripple the states and hole out their performance, to unionise energy within the arms of the Centre. âThis is âcoercive federalismâ that seeks to convert the states into âglorified municipal committeesâ,â he added.The Congress MP warned that submit fee cuts, GST collections will dip steeply sooner or later, with the shortfall more likely to be Rs 40,000 crore as per the Centre and Rs 80,000 crore as per the SBI, whereas different estimates peg it at Rs 1.5-2.5 lakh crore. âThe states will lose half or more of this, but neither GST nor Cess will flow to them,â he mentioned.
