Archive · 1 Dec 2025
Himachal Faces Financial Crisis, Blames Centre
Himachal Pradesh is having a lot of money problems.
The state government says the central government is giving them less money than before, which is making it hard to pay for things like salaries and development projects.
The Chief Minister, Sukhvinder Singh Sukhu, told the Assembly that they can't give MLAs their full salaries or funds for local projects right now.
The Communist Party of India (Marxist) also blames the central government's policies for the state's financial troubles.
They say the state owes a lot of money and can't borrow more because of rules set by the central government.
The state is trying to fix these problems, but it's going to take some time.
Himachal Pradesh faces severe financial crisis due to reduced central grants and borrowing restrictions.
Revenue Deficit Grant slashed from Rs 11,000 crore to Rs 3,257 crore for 2025-26.
State debt exceeds Rs 1 lakh crore with a debt-to-GSDP ratio of 43% in 2025.
Delay in disbursement of Vidhayak Nidhi funds and revised salaries for MLAs.
CPI(M) demands immediate action on vacant posts, electricity meters, and financial assistance.
- Who
- Himachal Pradesh Government, CPI(M)
- What
- Financial crisis due to reduced central grants and borrowing restrictions
- When
- During the State Secretariat meeting in Shimla and Assembly session
- Where
- Himachal Pradesh, India
- Why
- Centre's reduction in Revenue Deficit Grant and borrowing restrictions
- State Debt
- Exceeds Rs 1 lakh crore
- Revenue Deficit Grant (2025-26)
- Rs 3,257 crore
- Debt-to-GSDP Ratio (2025)
- 43 percent
- Fiscal Deficit Target
- 4 percent
- Annual Borrowing Cap
- Rs 7,000 crore
- Outstanding Payment to Apple Growers
- Rs 160 crore
- PM's Relief Package
- Rs 1,500 crore
Sources
CPI(M) flags deepening economic crisis in Himachal, blames Centre’s policies
BJP to hold massive protest against Himachal govt on Dec 4: Bindal
Delay in disbursement of Vidhayak Nidhi funds, Himachal CM Sukhu blames ‘steep’ cut in Central grant
3 years of Congress govt’s misrule black chapter in Himachal: State BJP chief
