“AAP Govt Has Pushed Punjab into Financial Emergency; Must Release White Paper on Three Years of Reckless Borrowing” – Pargat Singh 

Severe fiscal distress: unable to pay salaries to employees on time, auctioning state assets. 

Chandigarh, October 6, 2025: Padma Shri Pargat Singh, MLA and Secretary of the All India Congress Committee, has accused the Aam Aadmi Party government of pushing Punjab into a dangerous phase of financial emergency by breaching its borrowing limits and mismanaging state finances. He demanded that the Punjab government release a White Paper detailing all loans raised over the past three years, with full transparency before the people.

Singh said that the government has resorted to continuous borrowing without a credible recovery roadmap. “The situation has deteriorated to the extent that the state now borrows new loans to repay old ones. The fiscal deficit is out of control, employees’ salaries are delayed, and government properties are being auctioned to manage basic expenditure. This is economic mismanagement of the highest order,” he said.

According to official data, Punjab already carries a debt burden of ₹3.82 lakh crore. Yet, the government has exceeded its borrowing ceiling by ₹17,112 crore. As per the Union Finance Ministry, Punjab’s net borrowing limit for FY 2024–25 was ₹23,716 crore, but the government has borrowed ₹40,828 crore. Singh warned that at this pace, the state’s total debt could touch ₹4.17 lakh crore by the end of FY 2025–26 — a trajectory that threatens Punjab’s economic stability.

“The AAP government’s financial indiscipline has pushed Punjab to the brink of insolvency. This is not just a fiscal crisis — it is a governance failure. Fiscal collapse affects every Punjabi household when development stalls, salaries stop, and basic welfare services dry up,” Singh said.

He also pointed to the state’s official borrowing calendar, under which loans of ₹1,500 crore each in October and November, and ₹2,093 crore in December are planned, calling it “reckless and irresponsible.”

Pargat Singh urged the Chief Minister to act with accountability and honesty before Punjab loses its financial credibility. “A government that cannot manage its books cannot manage people’s trust. The first step toward recovery is transparency. The people of Punjab have a right to know how much debt has been taken in their name, and where that money has gone,” he said.