Odisha govt borrowed over Rs 21,000 crore in 9 months, reveals CM Majhi in Assembly

The Odisha government has borrowed Rs 21,177.99 crore from multiple sources between June 2024 and February 2025, Chief Minister Mohan Charan Majhi disclosed in the State Assembly on Monday.

Responding to a query by BJD MLA Goutam Buddha Das, the CM noted that the funds were borrowed to finance several infrastructure upgrades and welfare projects, including currently ongoing ones at several parts of the state.

Breakdown of Borrowings

In his reply to the question, CM Majhi detailed all the sources and the funds borrowed from each of them with the highest of Rs 9,000 crore being open market loans.

1. Rs 9,000 crore from open market loans.

2. Rs 7,149.56 crore from the Central government.

3. Rs 2,750 crore from Odisha Mineral Bearing Areas Development Corporation (OMBADC).

4. Rs 2,370 crore from State CAMPA (Compensatory Afforestation Fund).

5. Rs 2,261.16 crore from National Bank for Agriculture and Rural Development (NABARD).

6. Rs 2,352.73 crore from net Provident Fund deductions.

CM Majhi, who also holds the Finance portfolio, emphasized that the loans are allocated to capital-intensive sectors like irrigation, energy, roads, disaster management, and urban infrastructure.

Debt Repayment Efforts

It is worth mentioning that during the same nine-month period, the state repaid Rs 14,970.97 crore of previous loans, reflecting a strategy to balance new borrowings with fiscal responsibility.

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Notably, the CM stated that the borrowing of funds was meant to accelerate several key projects aligning with the BJP-led government’s focus on pushing development in Odisha after assuming power in 2024.