Govt. embarks upon swapping high interest loans with low interest ones  

The Telangana government, which faced the interest burden of high -cost loans in the past, decided to change high -interest loans with low -interest borrowings to ensure that it can save significant amounts in the coming days.

The effort can be seen from the government that the government prefers low -interest open market borrowings through the auction of securities carried out by the Indian Reserve Bank (RBI) in the last few weeks.

The state government gathered a large 5,000 crore with the auction of securities on August 5, and interest rates are around 7.1%. On July 29, 7.15%to 7.16%increased with interest rates of 3,500 Crore, and the same situation was determined by 7.1%for 2,500 Crore, which was increased on July 15th. Although the term of office of borrowings is longer, it is likely that they will come to the government as a pillow due to low interest rates.

Development follows large loans obtained by the BRS government and have been a burden that has become a burden that has been a burden that has been formed by about 25,000 crore since the last two financial years.

Prime Minister A. Revanth Redy said that during the Friday’s Independence Day address, the government completed the 2.2 Lakh Crore debt service, including the government’s 1.32 Lakh Crore Anapar and 88.178 Crore interest component, as he assumed that the congress had power less than two years ago.

High -level officials said low -interest loans would help eliminate the high cost of state debts, but would help out -of -budget borrowings. Senior officials said the OBBs have been financed by financial institutions that cannot be changed mainly.

Considering this, the government sought the approval of the union finance minister Nirmala Sithaman to restructure high -interest loans. Communication, Kaleshwaram Elevator Irrigation Plan SPV, Power Finance Corporation and Rural Electrification Company up to 10.75% to 11.25% of interest rates ranging from 10.75% to 11.25% stated.

“I would also like to inform you that the various projects initiated by high -interest loans are missing for various reasons that result in optimal yields compared to the original projections of various projects initiated by high -interest loans,” he said.