Jagan alleges economic collapse, corruption in Andhra

YSR Congress Party president and former Chief Minister Y.S. Jagan Mohan Reddy on Wednesday launched a sharp attack on the coalition government led by Chief Minister N. Chandrababu Naidu, accusing it of pushing Andhra Pradesh’s economy into a deep financial crisis. Addressing a press conference at the party’s central office in Tadepalli, Jagan presented a series of allegations backed by statistics, targeting the government’s budget figures, borrowing patterns and alleged corruption in administration.

Jagan alleged that the budget presented by the coalition government was filled with deceptive numbers and did not reflect the true financial condition of the state. Citing findings from the Comptroller and Auditor General (CAG) reports, he claimed there was a significant mismatch between the government’s claims and the actual fiscal situation. “Chandrababu portrays himself as an able administrator, but in reality he has pushed the state into a massive debt trap,” Jagan said.

According to the former Chief Minister, the current government had borrowed more money within two years than what the YSRCP government borrowed during its entire five-year tenure. He noted that even during the COVID-19 crisis, his administration had not exceeded the Net Borrowing Ceiling (NBC) limits. However, he alleged that the present government was crossing borrowing limits and raising loans indiscriminately.

Jagan claimed that the coalition government had already accumulated debt exceeding ₹3.31 lakh crore and that the debt-to-Gross State Domestic Product (GSDP) ratio had risen to 5.089 per cent. He argued that such financial management was pushing the state toward fiscal instability.

The YSRCP chief also accused the government of encouraging widespread corruption under what he described as a “loot, share and consume” policy. He alleged irregularities in several sectors ranging from liquor operations to land allocations. Jagan specifically claimed that land worth nearly ₹5,000 crore in Visakhapatnam had been allotted to relatives of Chief Minister Chandrababu Naidu and that valuable government land was being handed over to real estate companies at throwaway prices.

As a result of declining revenues and alleged mismanagement, Jagan claimed the state treasury was struggling to maintain even minimum cash balances. He said the treasury maintained the required minimum balance for only eight days during the entire year.

The current government had 

borrowed more money within two years than what the YSRCP government borrowed during its entire five-year tenure. He noted that even during the COVID-19 crisis, his administration had not exceeded the Net Borrowing Ceiling (NBC) limits.  

YS Jagan Mohan Reddy Former Chief Minister