Repayment of principal, interest of old debts weighs heavily on Telangana
Telangana’s finances are strained as the state repays principal and interest on legacy loans, a cost officials say weighs heavily on the budget. In addition, the government will deduct two instalments of dearness allowance from October salaries, further increasing the fiscal pressure on employees and the administration. The added outlay could curb spending on development projects and social schemes this year.