How much debt is too much for Tamil Nadu?
The debt dynamics in Tamil Nadu present a perplexing scenario of borrowing intertwined with fiscal strategies.
By 2026-2027, the burden of interest payments is expected to significantly eat into state revenue.
The imminent maturity of most public debt within seven years heightens refinancing risks.
To bolster fiscal health, a shift towards productive borrowing and enhanced public expenditure management is essential for the state's economic longevity.
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