SHILLONG, Dec 2: Chief Minister Conrad K. Sangma has rejected accusations by the Congress that the Meghalaya government is driving the state into a debt trap, terming the claims “baseless and misleading.”

Addressing reporters on Tuesday, Sangma said the state’s borrowing is well within permissible limits set by the Central government and the Reserve Bank of India (RBI), and that the Opposition’s statements are politically motivated.

“I have explained this many times. I have shown the growth of the state,” the Chief Minister said, reaffirming that the loans secured by the state are backed by favourable funding structures.

Sangma further clarified that loans obtained from the World Bank and Asian Development Bank (ADB) operate on a 90:10 or 80:20 sharing ratio, with the Centre contributing the larger portion.

“Seventy-two percent is repaid by the central government, and 28 percent is paid by the state government. So the question of this being financed through debt does not arise at all,” he stated.

Calling the allegations an attempt to distort public perception, Sangma said the Congress is unable to counter the state’s developmental progress and is resorting to misinformation.

“The MPCC president is trying to mislead the people, which is quite unfortunate. They are seeing the growth and are not finding any way to counter it. I appeal to them to understand the finances before making such comments,” he said.

The Congress has repeatedly criticised the government on the issue of rising debt, but the Chief Minister insisted the state remains financially stable with strong growth indicators.