Shimla – The Himachal Pradesh government has decided to take a loan of ₹800 crore to address the state’s growing financial needs. A notification regarding this was issued by the state Finance Department and published in the official gazette on Friday.
According to the notification, the loan will be credited to the government’s account on June 3 and repaid over 20 years, with the final repayment due by June 4, 2045. The government has stated that the borrowed amount will be used for developmental works across the state.
Sources in the Finance Department revealed that after disbursing salaries and pensions for state employees, the treasury is left with limited funds, making additional borrowing necessary to meet ongoing financial commitments and fund development projects.
The borrowing comes at a time when Himachal Pradesh is grappling with a severe financial crisis, with the state government already under pressure due to rising debt and fiscal deficit. While the government maintains that loans are essential to sustain developmental momentum, critics argue that the continued reliance on borrowing could strain the state’s future repayment capacity.
The notification signals yet another instance of Himachal’s growing dependence on long-term borrowing to manage day-to-day expenses and public infrastructure projects.
