K'taka borrowing jumps ₹37K-cr YoY

The financial deficit of the state increased from ₹46,623cr in 2022-23 to ₹65,522cr in 2023-24

- INDO-ASIAN NEWS SERVICE

The Comptroller and Auditor General's (CAG) report has revealed that the five guarantee schemes implemented by the government of Karnataka accounted for 15 per cent of Revenue Expenditure for the year 2023-24.

It further underlined that to finance the guarantees, the state government availed Rs 37,000 crore loan more than the previous year and reduced capital expenditure (Capex).

The central auditor's report was tabled in the Legislative Assembly Tuesday and the details have surfaced Wednesday.

The CAG stated, "Implementation of the schemes resulted in the increase in growth of expenditure (12.54 per cent from the previous year) which was the contributing factor of Revenue Deficit of Rs 9,271 crore. Consequently, fiscal deficit of the state also increased from Rs 46,623 crore in 2022-23 to Rs 65,522 crore in 2023-24."