Tamil Nadu assures pension scheme once Centre okays ₹11,000 crore borrowing

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Tamil Nadu Finance Minister Marie Wilson told the assembly on Monday that the DMK government's Tamil Nadu Assured Pension Scheme (TAPS) will begin only after the Union government sanctions borrowing of ₹11,000 crore. Responding to AIADMK MLA R. Kamaraj, Wilson said an interim payout is planned for those retiring on or after January 1, 2026, but full implementation awaits central approval. Kamaraj had earlier criticised the budget for lacking promised benefits like ₹2,500 monthly for women and free bus travel.

Wilson defended the government by citing a worsening fiscal position: the revenue deficit rose from ₹46,538 crore in 2021-22 to ₹78,324 crore in 2025-26, while the state's own tax revenue slipped from 5.93% to 5.45% of GSDP. He argued that despite higher borrowing, the debt-to-GSDP ratio actually fell, from 0.54% under the previous AIADMK regime to 0.51% now. Food Minister P. Venkatramanan also countered former CM Edappadi K. Palaniswami's criticism on farmer subsidies, pointing out that the DMK raised paddy prices from ₹131 to ₹156 per quintal in three months, a historic increase compared to the AIADMK's mere ₹7 hike over a full year.