GST Collections Dip 2% in Andhra Pradesh as TDP Rolls Back Welfare Schemes
India’s gross GST collection for May 2025 grew by 16.4% & reached ₹2.01 lakh crore
Andhra only State in Southern India to report a drop in GST revenue
Chandrababu Naidu’s promise to create wealth & implement welfare schemes proves a sham
The consequence of rolling back welfare schemes by the TDP government in Andhra Pradesh has started to show, with the State recording a 2% drop in GST (Goods and Services Tax) collections. On the other hand, India’s gross GST collection for May 2025 reached ₹2.01 lakh crore, marking a 16.4% rise compared to the ₹1.72 lakh crore collected in May 2024, according to data released by the Ministry of Finance on Sunday.
In the run-up to the elections, TDP supremo N. Chandrababu Naidu promised to make the poor rich. One year into forming the government, the GST data reveals that people are beginning to lose their purchasing power.
According to data released by the Ministry of Finance on June 1, Andhra Pradesh accounted for ₹3,803 crore in GST collections in May 2025, down 2% compared to May 2024, when the State reported ₹3,890 crore in revenue.
While the State’s pre-settlement SGST for 2025–26 stood at ₹2,801 crore, compared to ₹2,861 crore in 2024-25—a 2% decline—AP collected ₹5,388 crore in post-settlement SGST for the current fiscal, down from ₹6,149 crore in FY 2024–25, reflecting a 12% drop.
In comparison with other southern States, Tamil Nadu saw a substantial 25% growth in GST collections in May 2025 (₹12,230 crore), Kerala reported 24% growth (₹3,210 crore), Karnataka recorded 20% growth (₹14,299 crore), and Telangana posted a 6% surge (₹5,310 crore).
Evidently, Andhra Pradesh is the only southern State to have recorded a decline in GST collections.
Signs of financial decline in the State have been evident since April.
The TDP government celebrated unconfirmed GSDP data suggesting that Andhra Pradesh ranked second, with 8.21% growth.
Refuting the data, YSRCP president and former Chief Minister Y. S. Jagan Mohan Reddy pointed out that the Ministry of Statistics and Programme Implementation (MOSPI) had merely published figures submitted by the Directorates of Economics and Statistics of the respective State governments. “This means the data released by State governments has not been validated by MOSPI,” he noted.
Highlighting that Andhra Pradesh’s tax revenues were abysmally low in the first 11 months of FY 2024–25—growing only by 2.16%—the former Chief Minister expressed shock at the claim that the State’s GDP had grown by 8.21%.
He observed, “If any economist were to delve deep into these numbers, the State of AP would lose its credibility, as the fact that the figures have been inflated to conceal the real economic distress is evident from the fiscal performance during the first year of your (Chandrababu Naidu’s) government.”
Financial indicators clearly show that the TDP’s election promises of generating wealth and distributing it as welfare were all fluff and had no substance.
