YSRCP's Amarnath challenges Lokesh on Andhra GST growth claims
Synopsis
YSRCP's Gudivada Amarnath has punctured Nara Lokesh's GST celebration with a pointed statistical counter: Andhra Pradesh's apparent 25% SGST surge in Q1 FY 2026-27 is built on a -7% base from the prior year, leaving the two-year CAGR at a modest 7.9% — well below the 8.6% the YSRCP itself sustained through a pandemic.
Key Takeaways
YSRCP leader Gudivada Amarnath on 2 July challenged HRD and IT Minister Nara Lokesh over his claims on Andhra Pradesh's GST growth.
Andhra Pradesh's SGST (post-IGST settlement) grew 25 per cent year-on-year in Q1 FY 2026-27 , the figure Lokesh cited.
Amarnath argues this masks a -7 per cent SGST contraction in Q1 FY 2025-26 , creating an artificial base-effect advantage.
The two-year CAGR from Q1 2024-25 to Q1 2026-27 is only 7.9 per cent — from ₹8,568 crore to ₹9,978 crore .
Under the YSRCP government ( FY 2018-19 to FY 2023-24 ), SGST grew from ₹20,611 crore to ₹31,130 crore at a CAGR of 8.60 per cent , including pandemic years.
YSR Congress Party (YSRCP) leader and former Andhra Pradesh minister Gudivada Amarnath on 2 July challenged HRD and IT Minister Nara Lokesh over his claims about the state's GST collection growth, arguing that the figures reflect a base-effect advantage rather than genuine fiscal momentum.
What Triggered the Exchange
The dispute followed the release of GST numbers for June 2026, to which Lokesh responded with a social media post crediting the coalition government's economic management. Amarnath, reacting sharply, noted that Lokesh had waited until 40 per cent of the coalition government's term had elapsed before weighing in on the state's finances.
'Now, with the GST numbers for June 2026 being released, Nara Lokesh presumably got the impression that his government has done well on the GST front and hastily made a post on the same, claiming that the GST growth indicates growth, jobs and so forth,' Amarnath posted on X. 'The source which Nara Lokesh quotes reveals many more things that he did not have the time or ability to take a deeper look at before patting himself on the back.'
The Numbers Behind the Claim
Citing data from the Government of India, Amarnath pointed out that Andhra Pradesh's SGST (post-IGST settlement) recorded a year-on-year growth of 25 per cent in the first quarter of FY 2026-27. However, he argued this figure is misleading without context.
According to Amarnath, during the first quarter of FY 2025-26, the state's SGST had contracted by 7 per cent year-on-year — a 'miserable performance' that, in his words, created a low base that flatters the current year's comparison. He calculated that the compounded annual growth rate (CAGR) over the two-year period from Q1 2024-25 to Q1 2026-27 — from ₹8,568 crore to ₹9,978 crore — works out to only 7.9 per cent, which he described as offering 'no reason to cheer.'
YSRCP's Record Under Scrutiny
Amarnath also cited the YSRCP government's own fiscal track record, noting that between FY 2018-19 and FY 2023-24, Andhra Pradesh's SGST revenues grew from ₹20,611 crore to ₹31,130 crore, registering a CAGR of 8.60 per cent — this despite the economic disruption caused by the Covid-19 pandemic.
Amarnath's Broader Criticism
The YSRCP leader did not limit his critique to the numbers. He argued that Lokesh had remained 'oblivious' to repeated discussions about the state's 'unattractive fiscal performance' over the past two years and had never offered any explanation for it. 'Now, when one figure prima facie appears to be favourable to the government, without even taking a moment to understand the reason behind it, Nara Lokesh rushes to take credit,' Amarnath said.
The exchange signals a sharpening of political contestation over Andhra Pradesh's economic narrative ahead of the next electoral cycle, with both sides claiming the GST data as evidence for their respective positions.
Point of View
Which makes Lokesh's celebratory post a gift to the opposition. The deeper issue is that neither side is engaging with why Andhra Pradesh's SGST contracted in FY 2025-26 in the first place — that explanation remains absent from the public discourse, and it is the more consequential question for the state's fiscal health.
NationPress
3 Jul 2026
Frequently Asked Questions
What is the dispute between Gudivada Amarnath and Nara Lokesh about?
The dispute centres on Andhra Pradesh's GST collection figures for Q1 FY 2026-27. Nara Lokesh posted on social media crediting the coalition government for a 25% SGST growth, while YSRCP's Gudivada Amarnath argued that the growth is a statistical illusion caused by a low base from the prior year's -7% contraction.
What does the two-year CAGR of Andhra Pradesh's SGST show?
According to Amarnath, the SGST (post-IGST settlement) grew from ₹8,568 crore in Q1 2024-25 to ₹9,978 crore in Q1 2026-27, a compounded annual growth rate of just 7.9% over two years. He argues this offers no grounds for the government's optimism.
What was Andhra Pradesh's SGST growth under the YSRCP government?
Amarnath cited Government of India data showing that SGST revenues grew from ₹20,611 crore in FY 2018-19 to ₹31,130 crore in FY 2023-24, a CAGR of 8.60% over five years — achieved despite the economic disruption of the Covid-19 pandemic.
Why does Amarnath say the 25% GST growth is misleading?
Amarnath argues the 25% year-on-year growth in Q1 FY 2026-27 is inflated because it is measured against Q1 FY 2025-26, when Andhra Pradesh's SGST had already contracted by 7%. A weaker base mechanically produces a higher growth rate without reflecting genuine economic improvement.
Where did Gudivada Amarnath make these remarks?
Amarnath posted his rebuttal on X (formerly Twitter), directly responding to Nara Lokesh's post on the state's June 2026 GST collection data released by the Government of India.
