Leader of opposition and former chief minister Jai Ram Thakur on Saturday criticised the Sukhvinder Singh Sukhu-led Congress government in the state of “pushing the state’s economy onto ventilator support” due to fiscal mismanagement.
Thakur alleged that the government was repeatedly diverting funds meant for development toward routine administrative expenses. The CAG report clearly indicates that the Cash Balance Investment Account had been steadily rising from 2020-21 to 2022-23 financial years. “During the tenure of the previous BJP government, it had reached ₹ 3,645.18 crore. However, a massive decline of ₹ 2,187.37 crore was recorded in 2023-24, followed by a drop of ₹ 1,457.81 crore in 2024-25,” he said. The CAG report reveals that the chief minister failed to ensure the availability of even the prescribed minimum cash balance on 44% of the days in the year, amounting to 162 days, he said. “Over a period of 12 months, the state treasury went into overdraft 42 times— an average of seven times every two months. During this period, an amount of ₹ 1,652.42 crore remained unpaid by the end of the year. The government had to pay an additional ₹ 12.40 crore in interest solely for this short-term borrowing,” Thakur claimed.
“The state’s financial system has completely crumbled and slipped out of the government’s control due to the failure of the chief minister, who often pats his own back by using high-sounding terms like fiscal discipline and fiscal prudence,” Thakur said. “Money allocated for development projects and centrally sponsored schemes is being diverted elsewhere, leaving these projects in limbo,” he said. In a statement on Saturday, Thakur said that the Comptroller and Auditor General (CAG) report has not only exposed the Sukhu government’s attempts to shield corruption but also highlighted the state’s dire financial condition.

