According to a story in Andhrajyothy, the Reserve Bank of India (RBI) is reportedly sending emails and notices to the State Government to pay up 4,900 Crore Rupees of dues. The RBI officials are also calling the higher-ups of the Finance department but their calls are being unanswered.
The Government had already utilized three types of loans with RBI and also did not deposit the sinking fund for the last two years. “If 4,900 Crore is not deposited immediately, the Credit Ratings of the state will be impacted,” the emails read. The government has exhausted all the available loan limits in November itself.
It has borrowed 1000 Crore in December first week. The Central Government refused to increase the loans limit. We have seen the Ruling party MPs making Panic speeches in the Parliament to allow more loans. In case the credit ratings are impacted, all the loans taken by the government in the future will come with higher interest rates.
Also, the banks and other lending agencies will be imposing the harshest rules to give money to the government. Some agencies may even refuse to lend money to the Government.
