Monday, 27 March 2017

‘Maha can save ₹2,000 crore if Centre slashes interest rate on existing loans’

With the state debt set to cross Rs4 lakh crore mark, the Maharashtra government has requested the centre help to

reduce the interest rate on the loans it had taken from the latter in the past. The move is expected to help the

state save more than Rs2,000 crore every year.

State finance minister Sudhir Mungantiwar on Sunday requested Union finance minister Arun Jaitley, who was in the

city to discuss issues related to the Good and Services Tax (GST) with representatives of petroleum and liquor

manufacturing industries, to reduce interest rates by 2.75%.

“We have requested the finance minister to slash the interest rate on the loans provided to us by the centre in the

past. The erstwhile Congress-NCP government had taken loans of Rs75,000 crore at the interest rate of 9.5%. We have

now asked it to bring down to the prevalent rates — 6.75%. If this gets approved, the government will save Rs2,062

crore every year,” Mungantiwar told HT.View more:-Bulk Sms Service provider

He said that Jaitley has agreed to consider the demand, as it will help improve the financial health of the state.

The debt of the state is slated to cross Rs4 lakh crore in this fiscal and the state is likely to pay around

Rs31,027 crore as interest for the loans in 2017.

Source:-Hindustantimes

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