Himachal Pradesh: A Financial Examination of Debt and Grants

The Himachal Pradesh government has taken significant financial steps, raising loans totaling Rs 35,555 crore over the past three years, leading to a debt liability of Rs 1,01,863 crore as of January 31, 2026. This was revealed by Chief Minister Sukhvinder Singh in the state assembly during the question hour on Thursday.

Specifically, the state procured Rs 12,177 crore in loans for the fiscal year 2023-24, Rs 12,276 crore in 2024-25, and Rs 11,102 crore in 2025-26. In addition to market borrowings, the government secured loans from NABARD, the National Housing Bank, and received interest-free long-term loans from the Centre.

Despite this heavy borrowing, Himachal Pradesh benefitted from Rs 44,519 crore in grants and centrally sponsored schemes from the central government over the same period. The financial injection included a share in central taxes amounting to Rs 9,375 crore, Rs 10,681 crore, and Rs 9,460 crore over the respective fiscal years.