Punjab's Debt Projected to Reach ₹4.47 Lakh Crore with High Debt-to-GSDP Ratio

Punjab's debt liability is projected to reach approximately ₹4.47 lakh crore by March 2027, with a debt-to-GSDP ratio around 45%, among the highest in India. The state's revenue is largely consumed by liabilities such as interest payments, salaries, and subsidies, leaving less than 9% for infrastructure and welfare schemes. Studies warn that if current trends continue, fiscal stress may worsen, potentially pushing the debt-to-GSDP ratio to 62% by 2030-31, constraining development spending.