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Tamil Nadu debt-GSDP ratio 2025
October 21 , 2025
7 hrs 0 min
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- The Comptroller and Auditor-General (CAG) of India has assessed the Tamil Nadu government during 2023-24.
- It showed improvement only in one out of three targets fixed in the area of fiscal indicators.
- The progress recorded by the State was in the outstanding liability-Gross State Domestic Product (GSDP) ratio.
- Against a target of 29.1%, the figure was lowered to 28% in the year.
- The following were the targets determined for each of the three fiscal parameters: revenue, fiscal, and primary deficits.
- Elimination of revenue deficit by 2025-26,
- Achievement of fiscal deficit (FD)-Gross State Domestic Product (GSDP) ratio at 3% by March 31, 2025, and
- Bringing down debt-GSDP ratio to 29.1%
- The CAG was giving an account of the trends over the five years from 2019-20 to 2023-24.
- The debt-GSDP ratio increased from 24.35% in 2019-20 to 28.83% in 2021-22.
- It was decreased marginally to 28.39% during 2022-23, and stood at 28% in 2023-24.
- The debt included Off-Budget Borrowing (OBB).
- Despite the fall, the FD-GSDP ratio stood at 3.32% during 2023-24.
- It was “much higher” than the target fixed under the Tamil Nadu State Fiscal Responsibility and Budget Management Act.
- Revenue deficit, as a percentage of the GSDP, went up by 0.15% during 2023-24 over the previous year.
- The revenue deficit rose from ₹36,215 crore (2022-23) to ₹45,121 crore (2023-24).
- It was about 71.5% higher than the Medium-Term Fiscal Plan projections, whereas the target was to eliminate it by 2025-26.
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