CHENNAI: Congress MP Jothimani has hit back at the party's member of the economic think tank, Praveen Chakravarty, over remarks on Tamil Nadu's rising debt, arguing that it is unfair to compare the State with Uttar Pradesh without factoring in development outcomes, governance quality, and fiscal devolution by the Union government.
The debate began after Professionals' Congress chairman Praveen Chakravarty posted on social media that Tamil Nadu currently has the highest outstanding debt, overtaking Uttar Pradesh. He pointed out that while the BJP-ruled north Indian state had more than double Tamil Nadu's debt in 2010, the situation has since reversed. Chakravarty also flagged Tamil Nadu's high interest burden and said the state's debt-to-GDP ratio remains well above pre-COVID levels, calling the situation "alarming."
Responding to the post, Congress MP Jothimani said comparing Tamil Nadu with Uttar Pradesh without context was misleading. She argued that Tamil Nadu remains one of India's top-performing states in education, healthcare, industrial investment, social justice, urban infrastructure, and welfare delivery. At the same time, Uttar Pradesh continues to lag on key human development indicators.
Jothimani said debt must be assessed alongside outcomes, noting that Tamil Nadu's borrowings have been used to build schools, hospitals, public transport systems, power infrastructure, and social security programmes that strengthen long-term growth and human capital. She also highlighted what she described as inequities in Union government fiscal policies, stating that Tamil Nadu contributes significantly to central taxes but receives a disproportionately lower share of devolution than states like Uttar Pradesh.
She further alleged delays and denial of legitimate central dues to Tamil Nadu, including during natural calamities and under centrally sponsored schemes. Calling for a more nuanced discussion, Jothimani urged that debt debates consider development outcomes, per capita indicators, tax contributions versus devolution, and overall governance quality, asserting that Tamil Nadu remains far ahead on these measures.