Chandigarh, March 4 -- Punjab's debt has touched the Rs.4-lakh crore mark with a debt-to-Gross State Domestic Product (GSDP) ratio of 44.47%, finance and taxation minister Harpal Singh Cheema said on Tuesday.

Addressing a press conference on the Aam Aadmi Party (AAP) government's fiscal performance just days before it completes four years in office on March 16, Cheema said the AAP government had inherited a legacy debt of approximately Rs.3-lakh crore, because of which 35% of all new loans raised were utilised solely to clear the liabilities left by previous governments. He added that another 50% of the borrowings went toward paying interest on older loans, leaving less than 15% of the borrowed funds for the government to use for the sta...