Chennai has become the epicenter of a major political storm following serious allegations made by PMK president Anbumani Ramadoss against the ruling DMK government. The leader has accused the state administration of plunging Tamil Nadu into what he describes as an 'unprecedented debt trap', a situation he claims is worsening with each passing year.
Tamil Nadu Leads the Debt Chart for Fourth Consecutive Year
In a strongly-worded statement released on Saturday, Anbumani Ramadoss presented alarming data on the state's financial health. He revealed that by the conclusion of the 2024-25 fiscal period, Tamil Nadu's total outstanding debt has skyrocketed to a staggering ₹9,55,690 crore. This colossal figure places the southern state firmly at the top of a worrying national list.
This marks the fourth year in a row that Tamil Nadu has earned the dubious distinction of being India's most indebted state. The data shows it has left behind much larger states in terms of population and economic size. Uttar Pradesh, with a debt of approximately ₹8.57 lakh crore, and Maharashtra, with around ₹8.12 lakh crore, now trail behind Tamil Nadu.
A Sharp Escalation Post-2021
Anbumani Ramadoss provided a critical historical comparison to underscore the pace of the debt accumulation. He pointed out that Tamil Nadu's debt burden was actually lower than that of Uttar Pradesh until the 2020-21 financial year. At that time, the northern state reportedly had borrowings of about ₹6.01 lakh crore, while Tamil Nadu's stood at ₹5,68,893 crore.
The PMK chief argued that the sharp and dramatic escalation in debt since 2021 tells a telling story. He directly linked this surge to the tenure of the current DMK government, which assumed power in the state. According to Anbumani, the administration has engaged in borrowing 'on a scale never seen before' in Tamil Nadu's history.
Consequences and Political Fallout
The core of Anbumani's accusation is that this aggressive borrowing strategy has resulted in a perverse outcome: Tamil Nadu, despite being less populous and smaller in geographical area than states like Uttar Pradesh, now carries a heavier debt load. This, he implies, is a direct result of fiscal mismanagement.
The statement from the PMK president is expected to intensify political debates in the state, with the opposition likely to use this data to mount a fierce attack on the DMK's economic policies. The claim of an 'unprecedented debt trap' frames the issue not just as a financial concern, but as a crisis with long-term implications for the state's development and the welfare of its citizens. The government is yet to issue a formal response to these specific figures and allegations.
