Maharashtra Deputy Chief Minister and senior BJP leader Devendra Fadnavis on Thursday defended the Mahayuti government's Ladki Bahin Yojana amid claims of the opposition that it was affecting the state financially.

Fadnavis was responding to a query on the Centre claiming that 25 crore people had been brought out of poverty nationwide and whether the scheme contradicted this assertion.

Speaking to select members of the press, he said, "Those who have been brought out of poverty now belong to the lower middle class. Even though they have improved their economic condition, they continue to face fundamental needs like food, clothing, housing, aspirations for children etc.

While their income has increased to some degree, they are yet to achieve wealth, he said justifying the scheme under which women with an annual family income of less than Rs 2.5 lakh get Rs 1500 as financial aid per month.

Asserting that talk of the state facing a "mountain of debt" was a myth, Fadnavis said Maharashtra's economy is worth Rs 40 lakh crore, of which just Rs 6-6.5 lakh crore constitutes debt.

"Uttar Pradesh also has similar debt. Its economy is of Rs 25 lakh crore. The Maharashtra government has projected an annual financial burden of Rs 46,000 crore for Ladki Bahin Yojana. We are the largest state, and therefore, it is not merely the amount of debt that matters. The size of the economy is crucial. When you compare Maharashtra's debt-to-GDP ratio, we lead the category," he asserted.

Asked if the incoming government will need to raise taxes, Fadnavis said he did not think so.

"I do not believe there will be any necessity to increase taxes, as there is little room for such actions. Following the implementation of GST, the state government has very few taxes left (in its jurisdiction)," the Deputy CM said.

Several BJP leaders have cited IMF and NITI Aayog figures to claim that 25 crore people have been brought of of poverty across the country.

They claim poverty has fallen to less than 1 per cent in the country.

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