CPI(M) Flags Deepening Fiscal Crisis in Himachal, Blames Centre’s ‘Neo-liberal Push’
Shimla: The CPI(M) on Sunday held its state secretariat meeting in Shimla, chaired by State Secretary Sanjay Chauhan, and raised a strong alarm over Himachal Pradesh’s deteriorating financial condition.
The party accused the Modi-led Centre of tightening fiscal support and pushing the Congress government toward “neo-liberal policies” that are worsening unemployment, inflation and the agrarian crisis.
Chauhan said, “Himachal is being pushed into a severe economic crisis. The Centre has slashed grants, capped borrowings and is compelling the state to privatise public services. The burden is falling directly on the people through job losses, costlier services and shrinking rights.”
The CPI(M) noted that the state’s debt has crossed ₹1 lakh crore, the revenue deficit grant has dropped from ₹8,058 crore to ₹6,258 crore, and will fall further to ₹3,257 crore in 2025-26.
With GST compensation ending in 2022 and yearly borrowing capped at ₹7,000 crore, the party said the state is struggling to meet salary and pension liabilities. The debt-to-GSDP ratio has risen from 40% in 2020 to an estimated 43% in 2025.
The party criticised the rapid privatisation of education, health, transport and power services, including prepaid smart electricity meters, and the replacement of regular recruitment with insecure fixed-term roles like Van Mitra, Rogi Mitra and Traffic Mitra without minimum wages.
Chauhan demanded restoration of special-category financial assistance, timely release of employees’ dues, payment of ₹160 crore pending under the apple MIS scheme, and urgent relief and rehabilitation for disaster-hit families.
He also expressed concern over rising communal incidents and growing cases of violence against women and Dalits, urging strict action and an impartial probe into allegations against BJP MLAs.
The CPI(M) reaffirmed support for the nationwide farmers’ and workers’ protest on 19 January 2026, calling on Himachal’s people to unite against the Centre’s “anti-people, neo-liberal agenda.”
#HimachalEconomy #CPIMHimachal #FiscalCrisis #PublicSectorUnderThreat