Jagan: Andhra's GSDP data cooked to mask weak revenues
Jagan: Andhra's GSDP data cooked to mask weak revenues
YSRCP chief accuses the Andhra Pradesh government of inflating GSDP figures to hide tepid revenue growth, arguing data manipulation and independence concerns.
Amaravati residents woke up to a fresh round of economic controversy as Y S Jagan Mohan Reddy claimed the Andhra Pradesh government is projecting 'cooked up' GSDP figures to create a rosy picture of growth while revenues remain weak. He argued that the administration relies on inflated statistics produced by the Chief Minister's Office rather than independent agencies, creating what he described as an illusion of rapid expansion.
Reddy pointed to specific numbers: the government’s claim of nominal GSDP growth at 11.75% for FY 2024-25, well above the national rate of 9.8%, and a further 10.75% projection for 2025-26. He asserted these figures imply a 11.09% compound annual growth rate over two years, a pace he said contradicts the sluggish tax receipts observed in the same period.
In support of his critique, the opposition leader highlighted CAG data indicating tax revenues grew at a CAGR of only 1.97% in the first nine months, in sharp contrast to central gross tax revenues which rose by 9.64% during the same timeframe. He argued that such a disparity would be hard to reconcile with double-digit GSDP growth, suggesting the numbers have been manipulated to paint a healthier economy than reality.
The opposition also cited Andhra Pradesh’s ranking in tax revenue growth, claiming the state stood 22nd among 23 states, a point he used to question the credibility of the government’s claims. He contended that if the growth was genuine, tax receipts should reflect at least a comparable performance, not a divergence that betrays underlying weakness.
Defenders of the government counter that the state’s growth narrative remains robust. They noted that Andhra Pradesh is not isolated from the national trend and cited a planning official’s assertion that the state’s GSDP growth has outpaced the national average, with the GSDP now estimated at ₹17.62 lakh crore and a growth rate of about 10.75%. The official also claimed the state ranks among the leaders in real GSDP growth this year, underscoring a more favorable trajectory than the headline numbers suggest.
The clash over data credibility comes as the state faces revenue constraints amid broader economic headwinds. With political stakes high, both sides are urging greater transparency and independent verification to settle questions about the true health of Andhra Pradesh’s economy.
