Punjab’s economy is collapsing at an alarming rate due to revdi culture

GG News Bureau

Chandigarh, 8th September. Punjab is witnessing the unavoidable ugliness of AAP’s freebie politics. The state economy is collapsing under Arvind Kejriwal’s and the Aam Aadmi Party’s lofty fiscal promises. Its debt is increasing at an alarming rate. Worse, rather than acting maturely, the state government is engaging in blame games and maintaining its revdi culture. State employees appear to be the first to pay the price for the AAP government’s gross economic mismanagement.

Punjab’s exchequer funds have run out

Arvind Kejriwal, National Convenor of the AAP, made rosy promises to Punjab voters. He was successful in convincing voters to believe in his political style. However, it only took a few months for the state to realize how shallow the so-called Delhi Model was. They are witnessing the heinous consequences of freebie politics. Even after a week into September, it appears that the Punjab government has not cleared the salaries of its employees for the month of August.

However, it only took a few months for the state to realize how shallow the so-called Delhi Model was. They are witnessing the heinous consequences of freebie politics. Even after a week into September, it appears that the Punjab government has not cleared the salaries of its employees for the month of August. Ironically, one unnamed state government official boasted arrogantly that state government employees could withstand it for at least a week.

“Because it was about money for the state exchequer, we thought the employees could bear with the government for at least a week,” the official explained. On Tuesday evening, we paid salaries to Class C and D employees. The remaining balance will be paid on Wednesday.”

The AAP government, as usual, blamed the Center for the failure to pay its state employees’ salaries. It attempted to blame the GST compensation regime. According to the AAP government, if the Center had accepted Punjab’s request to continue with the GST compensation, the state economy would have thrived and everything would have been fine in the state.

CM Bhagwant Mann’s government is still owed money

This non-payment is merely a symptom of the state government’s larger debt problems. The state owes Rs 20,000 crores in power subsidies, including Rs 18,000 crore for free power to farmers, subsidies to industries, and free power to domestic users of 300 units per month. The government spent Rs 1298 crore until December to waive consumers’ outstanding power bills.

The state also has liabilities of Rs 20,122 crore for interest payments and Rs 15,145 crore for pensions and retirement benefits. Furthermore, the AAP government must pay Rs 27,927 crore in advance and loan repayments, as well as Rs 20,000 crore in ways and means advances.

New Revdis at a time when the AAP government is mired in an economic crisis?

At a time when the state is struggling to pay its employees’ salaries, the Punjab Cabinet has approved a new policy that would impose an additional burden of Rs 400 crore on the state exchequer. By absorbing contractual and ad hoc employees, it has added a special cadre of employees to its existing strength.

According to a Punjab government official, freebie politics are harming the state’s economy. The official warned that the situation could worsen in the coming months, as the state may be unable to pay salaries until the 15th.

“We are already concerned that we may not be able to pay salaries until the 15th of next month,” the official said. It’s going to be a tight situation. Let’s see how we do.”

These symptoms of freebie politics must be thoroughly examined, and the government must rise above petty political gains to intervene before it reaches a point of no return. It is disheartening to see that the state government has not learned from Sri Lanka’s economic collapse as a result of mismanagement and freebie politics. However, the Judiciary and the Center must ensure that if the state does not change its ways, it is either curtailed through legislation or funds from the Center are disbursed based on the state government’s performance.

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