Congress wins elections, stares at task of scrapping farm loans in 3 states

To waive crop loans up to Rs 100,000 per indebted farmer, Rajasthan will need to spend Rs 219 billion from its fiscal kitty

With the opposition Congress hoping to form the government in Rajasthan, Chhattisgarh and also in Madhya Pradesh, it will in all probability face a fiscal nightmare in fulfilling its promises of farm loan waivers and other other doles including a blanket employment allowance to all unemployed youths.  

As Congress President Rahul Gandhi has promised to waive loans of farmers in Rajasthan, Madhya Pradesh (MP), and Chhattisgarh within 10 days if the party was voted to power, a back of the envelop calculation shows that the respective new governments will have to spend much more than Rs 220 billion in Rajasthan, more