Delhi govt's debt increased by 7% from 2015-16 to 2019-20 despite revenue surplus: Report

Despite maintaining a revenue surplus, Delhi government's debt climbed by about 7 per cent in four years i.e. from 2015-16 to 2019-20, according to  Comptroller and Auditor General of India (CAG) audit report that was presented in Delhi Assembly on Tuesday, July 05.

According to CAG report, under Chief Minister Arvind Kejriwal's regime, debt increased by Rs 2,268.93 crore from Rs 32,497.91 crore at beginning of 2015-16 to Rs 34,766.84 crore at end of 2019-20.

Notably, Delhi deputy CM Manish Sisodia presented CAG report of year 2021 on state finances for year ending March 2020 in front of Assembly on Tuesday, wherein audit report on state finances offered a critical analysis of Government of NCT of Delhi's annual accounts and operation of Public Sector Undertakings for fiscal year ending 31 March 2020.

report stated that  revenue surplus of AAP government in Delhi in 2019-20 was Rs 7,499 crore implying that revenue receipts of government were sufficient to meet revenue expenditure. However, it noted that AAP government largely maintained this surplus on account of its employees' pension liabilities being borne by central government. It furr pointed out that expenditure of Delhi Police is also borne by Union Ministry of Home Affairs.

Expenditure on subsidies increased

CAG report stated that expenditure of Arvind Kejriwal-led government in Delhi on subsidies increased from Rs1,867.61 crore in 2015-16 to Rs 3,592.94 crore in 2019-20 (92.38 per cent). Compared to year 2018-19.  expenditure on subsidies in year 2019-20 was increased by 41.85 per cent. 

It also stated that financial assistance given to local bodies and ors increased by 7.59 per cent from Rs 15,087.22 crore in 2018-19 to Rs 16,232.97 crore in 2019-20.

Due to investments me in Delhi Metro Rail Corporation Ltd., investment in 2019–20 increased by 150 crore over preceding year. CAG report stated that while government paid interest at an average rate of 8.14 per cent on its borrowings during 2019–20, return on investment was only 0.08 per cent.

Delhi government hikes MLAs' salary

In its 2-day Monsoon season in Delhi Assembly started on July 04, Kejriwal government tabled and passed a bill to hike salaries and allowances of MLAs by over per cent. To this, Congress Delhi unit lashed out at ruling AAP government and said that Kejriwal government convened "special two-day session" of Assembly to pass bills to hike salaries, but it did not broach subject of providing unemployment allowance to youth, PTI reported.

(Input with PTI)