'State govts' budgets can't afford freebies': Sitharaman offers loan restructuring advice| HTLS 2025

Speaking about India’s fiscal future, the Finance Minister cautioned states against unsustainable “freebie” spending. She urged debt restructuring and responsible borrowing, stressing that politics must not compromise financial stability. With rising populist pressures, states face a critical choice between long‑term welfare and short‑term political incentives.