Bihar's Fiscal Deficit Touches 5.8%, Tejashwi Yadav Raises Alarm

Bihar Leader of Opposition Tejashwi Yadav on Friday, August 21, raised questions over the state's finances, pointing to the rise in public debt and a fiscal deficit of 5.8 per cent of the Gross State Domestic Product (GSDP) in 2025-26.

In a social media post, the RJD leader said the numbers were worrying and accused the BJP-led NDA government of mishandling the state's finances.

Yadav claimed the financial strain was being felt in government payments, alleging delays in payments to employees and pensioners, social security beneficiaries and contractors. He also said it was affecting spending on development work.

He further claimed that allocations under the Student Credit Card scheme had been cut and that scholarships were being reduced.

Yadav said Bihar's revenue deficit and debt had both increased and questioned the government's plans to improve revenue collection and keep the fiscal deficit under control.

He also alleged that the state had taken on a large amount of additional debt over the past two years even as its finances remained under pressure.

Calling the situation a "serious financial crisis", Yadav accused the NDA government of corruption and financial mismanagement.

(With inputs from PTI)