YSR Congress Party president Y.S. Jagan Mohan Reddy
YSR Congress Party (YSRCP) president Y.S. Jagan Mohan Reddy sharply criticised the National Democratic Alliance (NDA) government on Sunday, citing Comptroller and Auditor General (CAG) figures for the first half of FY 2025–26 that, he said, reveal a “highly discouraging and alarming slowdown” in Andhra Pradesh’s revenue growth.
In a post on X, Mr. Jagan said the numbers “expose the tall claims made by the TDP and JSP during the elections”, particularly their assurances of rapid revenue growth under their governance.
According to the CAG data, the State’s own tax revenues grew by just 7.03% year-on-year in the first six months of FY 2025–26. Even more worrying, Mr. Jagan noted, was that GST and Sales Tax revenues—key indicators of consumption—grew by only 2.85% compared to the same period last year.
He further pointed out that over a two-year period (2023–24 to 2025–26), the compound annual growth rate (CAGR) of the State’s own tax revenues stands at only 2.75%, “painting an even bleaker picture”. Despite this, he said, Chief Minister N. Chandrababu Naidu was “misleading people” by claiming “stupendous economic growth”, including 12.02% Gross State Domestic Product (GSDP) growth in FY 2024–25 and a target of 17.1% in FY 2025–26—figures he argued were inconsistent with the muted revenue performance.
“Such high economic growth should normally reflect in strong tax collections, ideally with a revenue CAGR of 12–15%, but the real figure is only 2.75%,” he said. “The situation is even worse in capital expenditure, which has contracted at a CAGR of 16% over the last two years, clearly indicating that the government is not investing in long-term infrastructure or development.”
He added that in the first quarter of FY 2025–26, the State’s own revenues grew by just 3.47%, with GST and Sales Tax collections falling below the corresponding quarter last year. “Yet Mr. Naidu claims 10.50% GSDP growth for the same quarter. This is completely illogical,” he said.
Mr. Jagan contrasted this with the previous YSRCP government’s performance, stating that between 2019 and 2024 the State’s own tax revenues grew at a CAGR of 9.87%, rising from ₹58,031 crore to ₹92,922 crore, while the GSDP grew at a CAGR of 10.23%—a “healthy and consistent pattern”.
“When revenues and economic growth were aligned under our government, how can Mr. Naidu now claim the State is progressing swiftly despite negligible revenue growth?” he asked.
He further alleged that “the only thing galloping under the current regime is debt”, claiming that the government has already contracted or availed loans totalling ₹2,06,959 crore—62% of what the YSRCP government borrowed over its entire five-year term. “This shows the financial recklessness of the present government. They are borrowing at breakneck speed without improving revenues or investing in development,” he said.
Published – November 16, 2025 06:08 pm IST
