Himachal Pradesh's government is set to raise ₹500 crore through government securities due to severe fiscal stress following the discontinuation of the Revenue Deficit Grant (RDG). This grant's removal is projected to create an annual shortfall of ₹8,000–₹10,000 crore from 2026 to 2031, contributing to the state's total debt of ₹1,10,500 crore. In response to the financial strain, the government has temporarily deferred salaries for 20% to 50% of elected representatives and officials. Chief Minister Sukhvinder Singh Sukhu has indicated that borrowing is necessary to manage the state's economic situation, which he links to the Gross State Domestic Product (GSDP) and regulatory norms from the central government. However, opposition spokesperson Rakesh Jamwal criticized the Congress-led government, claiming that its policies have led to the state's economic decline, forcing it to borrow just to cover basic operational expenses.